SCCP-188: Update Open Interest Limits
| Author | |
|---|---|
| Status | Rejected |
| Type | Governance |
| Network | Optimism |
| Implementor | TBD |
| Release | TBD |
| Proposal | Loading status... |
| Created | 2022-04-21 |
Simple Summary
This SCCP proposes to lower the sETH futures market MaxMarketValueUSD to sUSD 10 million from sUSD 25 million.
Abstract
The MaxMarketValueUSD is the maximum amount of open interest available for a certain Futures Market, it is the limit per long/short. So if have 3m$ worth of longs and 3m$ worth of shorts, the open interest limit is set to 10m$, users can assume 7m$ worth of longs and 7m$ worth of shorts.
Motivation
The primary motivation to lower the open interest limit until the centralized circuit breaker described in SIP-231 helps prevent latency arbitrage.
Copyright
Copyright and related rights waived via CC0.