Hi Cenk, thanks for drafting this proposal, and sorry for the slow response here.
The performance of MUX V3 has indeed been underwhelming, due to a combination of factors including marketing challenges, compliance considerations, changes in the sector landscape, and development bottlenecks. Given the recent shifts in the perps landscape, MUX contributors have not yet found a sufficiently effective strategy to regain market share and onboard more users without significantly increasing costs. We believe the current priority should be to ensure the protocol’s survival while continuing to look for new opportunities.
Although trading volume and fees have been underperforming, winding down the protocol may be an overreaction. The full tech stack of the protocol remains solid, and the system continues to run smoothly and securely. The aggregator’s ability to handle large on-chain positions while offering optimal execution costs remains unique in the sector, and the design of V3 still has its advantages.
On the product side, contributors have been proactively exploring new directions that could benefit MUX. They are currently working on a new stealth-mode project incubated by MUX. After several months of development, the new product has now launched in beta and is expected to begin marketing and growth efforts in the coming weeks, with a lean budget. Once the project becomes operational, MUX will receive a share of its future profits and valuation, with the goal of benefiting POL and veMUX holders. Meanwhile, MUX itself is currently in maintenance mode, with bugs being addressed regularly and in a timely manner.
In terms of survival, although there have not been any official updates, annual operating costs — including current maintenance, and new project development — have been capped at $700K since January 2026. This is still higher than the proposed $420K, but contributors will continue looking for ways to further reduce costs or increase revenue.
Looking ahead, since the new project has just launched, we will provide bi-monthly updates on its operations and continue exploring ways to benefit the MUX community once it becomes profitable.