BIP 81: Set stability fee to 0.3%

[Andell]

Set the stability fee to 0.3% for outgoing trades in the stability fund.

As discussed in:

Increase Stability Fee to 0.3%

The initial proposal to lower stability fund fees from 0.5% to 0.1% was discussed ~3 weeks ago here While I haven’t spent the time to do the analysis, I personally disagreed with the original proposal of such a drastic change. I feel that, in time, lower fees on the stability fund will lead to increased volume, enough of an increase to justify a lower fee, but right now I don’t believe that is the case. The previous proposal has simply lowered the revenue of the DAO without leading to a large…

Proposal to Lower Stability Fund Fees

Hello everyone. I would like to discuss the potential benefits of lowering the Stability Fund Fees. With the recent integration of ICON and Balanced, alongside the introduction of USDC from other blockchains, it has become more feasible to maintain the peg of bnUSD through arbitrage between Balanced and centralized exchanges (CeX). Currently, the costs associated with these arbitrages, excluding gas and xCall fees, are as follows: When an asset is cheaper on Balanced, the arbitrage cost is …