GMXSOL(gmxsol.io), a community-driven deployment of GMX V2 on the Solana blockchain, has been running on the mainnet for several months. To further promote user engagement and provide experimental reference for GMX, GMXSOL is preparing to launch an trading competition.
This initiative aims to serve as a proof-of-concept for new forms of trading incentives, and we would like to invite the GMX DAO community to provide feedback and help guide the direction of the campaign.
2. Motivation
Incentives are a critical lever to drive volume, user retention, and engagement in perpetual DEX ecosystems. GMXSOL believes that gamifying trading through a competition with real-time dynamics and evolving rewards can offer a compelling new experience for both high-volume traders and retail participants.
3. Overview of the Proposed Trading Competition
(1)Objective
Encourage participation from both whales and retail traders by rewarding:
The user with the highest trading volume during the campaign.
The user who makes the final eligible trade before the competition ends.
These two winners will split the total prize pool equally. (Only opening and closing transactions are counted, ADL and liquidation are not counted)
(2)Duration
The event will begin with a 24-hour countdown.
Each valid trade (defined as any opening or closing transaction exceeding $10,000 in size) will extend the countdown by 10 seconds, with a cap of 24 hours from the current time
If there is no other valid transaction within 10 seconds after the last valid transaction at the end of the countdown, the competition ends.
(3)Prize Pool Design
The base prize pool will be contributed by the GMX-Solana treasury.
On top of this base, the prize pool will increase dynamically:
30% of the protocol’s daily surplus revenue will be added to the pool. (represents approximately half of the current GT buyback budget)
There will be no upper limit to the prize pool, but the base amount will act as a guaranteed minimum.
We are now inviting the community to help determine the base prize pool size.
(4)Community Feedback
What base prize pool size would you consider appropriate?
0/10k/30k/100k/300k
6. Conclusion
This proposal serves both as an announcement of GMX-Solana’s upcoming trading competition and a call for community input. We believe this experimental model could become a valuable part of GMX’s broader incentive design toolkit.
Your feedback will directly impact the parameters and execution of this event. We look forward to hearing your thoughts and refining this initiative together.
Given treasury size for gmxsol, i am inclinded to suggest 100k as the prize pool. For protocol longetivity.
Along with that i would suggest prize pool to be split between top 5 largest volume instead of top 1. This would incentivize more whales to trade. Proportionate maybe 20-15-7.5-5-2.5% tiered instead or lower the last trade reward as that can be easily manipulated with a bot and script essentially drawing out the competition for a long period.
You jumped from segment 3 to 6! (sorry, it’s the editor in me… )
To the point: the mechanics are intriguing, and pretty innovative. The trader with the highest trading volume wins, but the contest keeps extending as long as about 60,000 USD in volume gets traded every minute? And the last trader to trade also wins half.
I agree with Junwei that winner-takes-all may not be optimal compared to a top-3 or top-5 prize model, and it’s important to think about how bots may be utilised to game this.
I would like to provide general comments for consideration:
It is necessary to add a leaderboard that updates in real-time, including current volume, PNL, number of trades, etc. This is needed so users can track the competition and strive for victory. No hidden volumes—everything should be as transparent as possible.
The pool of winners should be expanded from 2 to at least 10. My vision is as follows: Top 5 users with the highest trading volume, the best trade in % relative to the deposit, the best PNL, the worst PNL (to support the user, but exclude whales from the top 5), the user who made the last trade, and some secret criterion that won’t be publicly disclosed (come up with it yourselves).
To increase trading volume on the platform and reduce trading costs, during the event, add incentive rewards for users who provide liquidity to GLV storage.
Ensure the servers can handle the load and avoid high ping through stress testing. As a user, I sometimes notice connection issues. Considering the reward for the last trade, I expect an influx of users with scripts trying to claim this reward.
Due to the proposed increase in the number of winners, I recommend setting a minimum reward of $300,000.
If such events are held regularly rather than as one-offs, add an event calendar. It might be worth considering different criteria for different events, but the number of winners should be more than two.
You could consider categorizing by deposit levels. For example, the best PNL for trading volumes up to $1 million, from $1 to $5 million, over $5 million, etc. There are many variations to think about.
The distribution of rewards among even 10 users should not be equal. For example, a whale who spent a lot on fees and took first place in volume should receive the largest share of the prize pool compared to others. Contributions should be fairly evaluated.
I would like to hear your thoughts on this. Thank you!
Yes, sustainable development is a key consideration for gmxsol. If the effect is good, we hope to continue the trading competition for many times. As for the reward recipients, we will consider increasing the number of reward addresses.
Please consider modifying the last txn clause, easily botted and funds could be used to increase liquidity pool esp GLV vault to reduce price impact better usage of funds would recommend 100k for trading vol and 100k for lp incentive to push higher liquidity and reduct of price impact.
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