Referral Program

Proposals
10

Based on feedback from referrers and users, we propose to have the following structure for the program:

Tiers

  1. Tier 1: 5% discount, 5% rebates to referrers
  2. Tier 2: 12% discount, 10% rebates to referrers
  3. Tier 3: 12% discount, 15% rebates to referrers paid in ETH / AVAX, 5% to referrers paid in esGMX, the esGMX will not have any requirements for vesting, it can just be deposited into the vesting vault to be converted into GMX over 365 days

Rebates and discounts apply for the 0.1% opening and closing fees for longing and shorting.

If the trade was on Arbitrum then the rewards will be in ETH, if on Avalanche then the rewards would be in AVAX.

The reasoning for the percentages is to encourage users to use the referrer’s code if that is how they know of the platform instead of self-referring.

240,000 esGMX will be reserved for this program to be applied for the first 12 months of the program’s launch. Assuming a price of ~$30 per GMX this is worth ~$7.2 million.

This also means that there will be a cap of 5000 esGMX distributed per week.

Assuming a price of ~$30 the full 5% can be paid for total Tier 2 referral volumes up to $3 billion per week.

The price of GMX will be based on the 7 day TWAP.

Rebates comparison

For every $1 million in volume traded, referrers will receive

  1. Tier 1: $50 in ETH / AVAX
  2. Tier 2: $120 in ETH / AVAX
  3. Tier 3: $150 in ETH / AVAX, $50 in GMX

The rewards / volume ratio should be comparable to CEXes and other referral programs.

Access

  1. Tier 1: anyone can create this code
  2. Tier 2: at least 15 unique users and referred weekly volumes above $5 million
  3. Tier 3: at least 30 unique users and referred weekly volumes above $25 million

For Tier 2 and Tier 3, referrers would need to fill in a form with information of how they brought in their users.

If a referrer is in a higher tier and referred volumes are below the tier amount for 4 continuous weeks then the referrer’s tier may be changed.

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