SCCP-2050: Update Perps V2 Parameters
| Author | |
|---|---|
| Status | Implemented |
| Type | Governance |
| Network | Optimism |
| Implementor | TBD |
| Release | TBD |
| Proposal | Loading status... |
| Created | 2023-10-10 |
Simple Summary
This SCCP proposes to update the RUNE and GMX market parameters as per the below:
| Max Market Value | Current | Proposed | Proposed $ | CEX OI in $ |
|---|---|---|---|---|
| GMX | 21,000 | 27,720 | 1.00 M | 8 M |
| RUNE | 400,000 | 800,000 | 1.35 M | 15 M |
| Skew Scale | Current | Proposed | Slippage Per M$ | CEX Slippage Per M$ |
|---|---|---|---|---|
| GMX | 112,500 | 60,000 | 2,314 bp | 1,085 bp |
| RUNE | 25,500,000 | 12,750,000 | 233 bp | 60 bp |
Abstract
The description of the parameters changes is as follows:
skewScaleis the scaling factor of the relevant market in the underlying currency for computing PD and Funding Rates.MaxMarketValueis the maximum possible open interest on any given side of a perp market.
Motivation
The main motivation is to increase the caps on markets with high turnover and high utilization all the while maintaing the incentive of arbitrages in balancing out the skew.
Copyright
Copyright and related rights waived via CC0.