Bootstrapping GMX–USDC Liquidity for GMX-Solana

Proposals
1

Summary

Following the community discussion and the Snapshot vote held in November 2024, the GMX community has approved providing initial liquidity for GMX-Solana. With the GMX bridge now live and operational, this proposal formalizes the next step transferring the approved funds to the GMX EVM multisig to bootstrap liquidity on GMX Solana.

Background

As part of GMX’s ongoing multi-chain expansion, the GMX-Solana initiative was introduced to bring the protocol’s proven model to the Solana ecosystem. The goal is to establish deep liquidity and create new trading opportunities while expanding GMX’s reach to a broader set of users and applications on Solana.

The initial proposal presented four options for community consideration:

  • Option A: Don’t support

  • Option B: $50,000 in USDC and $50,000 worth of GMX

  • Option C: $100,000 in USDC and $100,000 worth of GMX

  • Option D: $200,000 in USDC and $200,000 worth of GMX

After extensive discussion and community input, Option D received the most support on Snapshot signaling the community’s confidence in strongly backing GMX-Solana at launch.

This proposal authorizes the transfer of $200,000 in USDC and $200,000 worth of GMX from DAO treasury funds to the GMX-Solana EVM multisig, which will facilitate bridging and deployment of these assets as initial liquidity for the GMX–USDC pool on Solana.

Rationale

By seeding the GMX–USDC pool with $200K in USDC and $200K in GMX, the DAO enables the protocol to establish immediate market depth, smoother trading experiences from day one. This early liquidity provision helps attract traders and liquidity providers, drives protocol adoption, and strengthens GMX’s cross-chain presence. Ultimately, it positions GMX-Solana to grow sustainably while enhancing the overall liquidity network that supports GMX across ecosystems.

Conclusion

With the bridge now live and infrastructure in place, this transfer will enable GMX-Solana to establish deeper liquidity in the GMX–USDC pool. The initial bootstrapped liquidity will help create deep, liquid markets that provide strong support and immediate trading depth from day one.

If this proposal is approved, the GMX Security Council will oversee the transfer of the GMX tokens from the GMX Timelock Multi-Sig to the GMX Solana EVM Multi-Sig.

The proposal is now seeking community feedback and, following the discussion phase, will be taken to a Tally vote for final approval.

5 Likes
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great to see us moving forward! great xmas season :slight_smile:

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Yes, this is overdue, let’s go.

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nice! ready to vote for!

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The multisig address of GMXSOL Labs:
0x3BF865bf390b3905b0DED7211bD0Db919a1e1145

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WAIT! Why we are sending funds for LP to GMXSOL labs? Transfer of GMX purchased using GMXSOL treasury is OK, but these $200k USDC + $200k GMX is GMX DAO contribution to LP and should stay in GMX DAO custody.

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Agreed, it makes more sense for this contribution to GMX-Solana liquidity to remain in the custody of the GMX DAO.

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After the GM purchase is completed, it will be transferred to the GMX multisig on Solana.

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Wait why cant GMX DAO deposit directly into the LP after market creation?

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there isn’t a GMX DAO on Solana, it would take some time to setup a multichain DAO, or to setup a LayerZero bridge to bridge the GM tokens from Solana back to Arbitrum

i think it would make sense to appoint the GMSOL multisig to custody the GM tokens until the bridging is setup

3 Likes
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But “GMXSOL multisig” <> “GMXSOL Labs” ( I hope). So why labs address was given in the post above?

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since the GMX DAO is on Arbitrum, it can’t execute txns on Solana

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you’re referring to “0x3BF865bf390b3905b0DED7211bD0Db919a1e1145”?

i think having the GMXSOL Labs multisig perform the minting would make sense, as mentioned above the GMX DAO can’t execute these txns on Solana

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To elaborate, the GMX DAO can technically bridge the funds to the GMSOL treasury multisig on Solana, but it would be complex to construct the bridge txn, and would be best if a test txn can be done, it’s not very practical for the DAO to do these as it would take 7 days to execute a test txn

We would need help from GMSOL labs to construct the mint GM txn and do a test again as well, so the practical path to me would be to allow GMSOL Labs to perform the bridging and minting, then send the minted GM to the GMSOL treasury multisig

4 Likes
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I think if thats the process, then fairs and will do so to not impact dev time to create a product just for this.

Was curious why gmx dao cant setup a multi sig on solana there should be a template for a industry grade multisig (assume similar to gnosis safe) just for holding tokens i hope or reuse gmsol multisig code and have the same signers to hold it thus my thought process. Sorry not in svm ecosystem but assume there is a variant of safe there.

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i’m not sure if i got what you meant, but it is possible to create a multisig on Solana comprising of e.g. the largest GMX DAO delegates, that would be Q, X, 0xd5bb24152217bea7a617525ddfa64ea3b41b9c0a, Tano, Saulius

we would then need to construct the bridging and minting GM txns on our own and have these signers approve the txn

this would require some setup, and we would still require help from GMSOL labs to construct the txns as they are most familiar with doing this for Solana

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Oh i just meant a multi sig to hold the gm tokens on solana without the need of bridging it back on Solana.

Making use of the same signers as the current GMX DAO signers thus the funds are technically still held by the DAO no need to bridge the tokens to arb and leave it on SOL.

But if your analysis be that it better to leave the Funds to be held by GMXSol then yeah maybe there be more backend processes involved that im not aware of, thus im giving a very abstract pov from the outside. Not opposing to either.

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Current TVL of GMXSOL GM pools is ~$6M. I assume big part of it belongs to GMX DAO already? Who is in control of wallet holding these GM tokens?

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yes, lets do the way Xdev explained above,
i think we shld not waste dev time on this, and move forward to this.

we have to be a lot more efficient.

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The liquidity on GMXSOL comes from LPs, and part of it comes from other protocols we work with, such as APE. GMX DAO hasn‘t provided any liquidity to GMXSOL yet.

2 Likes