Once concentraded liquidity is implemented, and the dex becomes sustainable from fees, I think it’s a good idea to reward more mex holders by giving 100% of mex inflation to them(till mex inflation goes to zero). 1 year lock would give you x Mex every week, 2 years lock would give you 2x Mex and 4 years lock would give you 4x Mex. Once the dex has enough volume from concentrated liquidity pools, by giving the mex inflation to the owners of the dex(mex holders), will create an exponential effect of high volumes and a strong mex, which should be the top 2 priorities of the dex.
No, not a good idea.
- you can’t just disable the farm rewards, liquidity will be gone in an instant
- why even inflate mex, if its going to all the xmex owners? Just stop the minting at that point. Doesn’t make sense to continue minting and giving it to xmex owners.
This doesn’t make mex stronger, but weaker. Pointless inflation with no value being added and people just dumping it.
Well maybe it’s my fault that I am bringing this topic now, since it’s not a priority. But explaining my point, once mex staking rewards are not needed to attract liquidity you have 2 choices. To stop mex staking rewards or to reward the people that believe the most on the dex and incentivise them (by increasing the competition between them) to buy and lock more mex. By the way people who locked their mex wont just “dump” it because they are the most committed ones on the success of the dex (traders and liquidity providers are not committed, because they dont have to lock anything for 1, 2 or 4 years).
Under what conditions would it not be needed anymore?
And again continuing the dillution is not the goal when it’s not needed anymore. Under such circumstances it is implied that the other revenue sources are more profitable than mex.
Mex is not a revenue source. We investors of Mex, back it up till the exchange succeeds. I think success can come only with concentrated liquidity and fees coming from it. But anyway I dont disagree to stop mex inflation after the fees from concentrated liquidity reach that level.
Do you really think that concentrated liquidity is the way to go? I’m not entirely sure about it.
I’m not sure if users understand what concentrated liquidity pool require from their side as effort in creating and managing their positions.
Concentrating liquidity sound very nice, but it has the downside on concentrating liquidity. If people don’t know how liquidity concentration works, it can create a rather opposite effect: when prices get out of the concentrated regions, they go wild through the unconcentrated regions and ultimatelly affect both the pool and a lot of users’ finances really really badly.
The concentrated liquidity solution is already developed for a while, but I personally dislike the idea of switching to it yet.
Users can always choose to provide the liquidity on full range (which is equal to just a normal AMM) then they will never get priced out
And if the team is skilled they can implement a feature that automatically adjusts the price area of positions FOR THE USER, so that the user doesn’t need to care about it.
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Indeed, it can be done… but requires lots of work & strong community of users that understands the idea of concentrated liquidity or devs who build solutions for concentrated liquidity.
xExchange team alone can’t build everything from scratch on short time and this would mean that either the features will come very late, or they come faster but at the cost of losing users.
Most users can’t see beyond the dichotomy between decentralization and expecting the xExchange team to deliver everything.
It’s purely impossible with the current status quo where users demand everything but give nothing.
Yes we expect the team to deliver everything now.
Every. Single. DEX. on other networks has a dedicated team that delivers 10+ major Features every year.
They do it all.
And our dex team takes a year for a redesign.
So again. Yes they need to deliver. They need to deliver it all. Yes it’s the teams job. And compared to every single other dex out there we are the slowest.
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