In June 2023, the proposal of updating the trading fee rate for positions under the MUXLP pool to a range of 0.05% - 0.08% (with an initial rate of 0.08%) was passed to ensure the MUX native pool can stay competitive in the ever-changing perps landscape. After comparing the composite trading cost (including open & close fees, price impact cost, spread cost, slippage, execution fees, funding fees and borrowing fees, etc) for positions of various sizes from different protocols under different open interest scenarios, the open & close fee rate for MUX native positions will be adjusted to 0.075% while the price impact remains 0%. The goal is to continue offering competitive trading costs under the current landscape while ensuring LPs and governance token stakers can earn more competitive revenue.
Meanwhile, the $ARB rebate campaign is ongoing, and MUX has around 2M ARB grant to use towards the rebate. 100% rebates of users’ open & close fees for MUX native, GMX and gTrade positions won’t be affected.
MUX contributors will continue to analyze the market and ensure reasonable trading costs while balancing LPs’ risks, exposure & earnings.