GLS DAO has set aside 100,000,000 (100M) GLX tokens for liquidity provider rewards to be distributed over 65 months, as per GLS Whitepaper. It mentions the distribution of 60% of the rewards to just three liquidity pairs i.e. GLX/HIVE, GLX/ETH & GLX/BNB. While it is necessary to have good liquidity for the GLX token, it is also necessary to have liquidity for GLUSD and GLGT tokens which play an important role in tokenomics, and are mostly used to purchase items either in the shop or markets. The initial whitepaper fails to outline any rewards for GLUSD or GLGT pairs. In order to boost liquidity for GLS ecosystem tokens, we suggest updating the rewards distribution as detailed in the proposal section below. Please note that this distribution of rewards is not set in stone, can be updated anytime by passing a proposal through the DAO for the benefit of the ecosystem, and is up to GLX holders to decide what it should look like. GLS whitepaper already refers to this as:
In the future, the DAO can vote to add new trading pairs or change the amount of rewards to any trading pair. The idea is that the DAO can vote on how the 100M is distributed among the different trading pairs based on market demand.
In the future, the DAO will be able to vote and;
- Change the percentage of rewards assigned to each pair.
- Create liquidity for new pairs.
- Increase the number of pairs supported.
Proposal
We propose the distribution of LP rewards to be updated as follows:
| Blockchain/Market | LP Pair | %age Distribution | GLX Distribution | |
|---|---|---|---|---|
| Hive/ Hive Engine | GLX:HIVE | 10% | 10,000,000 GLX | |
| GLUSD:HIVE | 10% | 10,000,000 GLX | ||
| GLGLT:HIVE | 5% | 5,000,000 GLX | ||
| GLX:GLUSD | 5% | 5,000,000 GLX | ||
| SPS:GLX | 2.5% | 2,500,000 GLX | ||
| DEC:GLUSD | 2.5% | 2,500,000 GLX | ||
| BNB Smart Chain (BSC) | GLX:BNB | 10% | 10,000,000 GLX | |
| GLUSD:USDC | 10% | 10,000,000 GLX | ||
| Ethereum Network (ETH) | GLX:ETH | 10% | 10,000,000 GLX | |
| GLUSD:(USDC or ETH) | 10% | 10,000,000 GLX | ||
| Unalloccated (to be used for new chains/markets) | 25% | 25,000,000 GLX | ||
| Total | 100% | 100,000,000 GLX |
The release schedule remains unchanged (65 months from when the distribution starts).
If the proposal is approved, LP rewards for Hive (Hive Engine or Tribaldex) chain can be expedited using Hive Engine/Tribaldex smart contracts. The GLS DAO will create distribution contracts for all Hive Engine LP pairs, cover the cost of contracts, and initiate rewards for the next two years (24 months) worth of rewards. This will not only save the development efforts of the GLS team but also enhance liquidity of the tokens on hive markets, and let users earn LP rewards by providing liquidity to the token pairs.
The gls.dao already has 1000 HIVE and 1500+ HBD tokens earned through writing proposals on Hive. These funds will be used to buy BEE and cover LP pools creation fee and distribution contract fee. Three of the LP pairs (GLX:HIVE, GLUSD:HIVE & SPS:GLX) already exist. gls.dao will create three missing LP pairs (GLGT:HIVE, GLX:GLUSD & GLUSD:DEC) and create six distribution contracts, one for each pair. The fee for creating a liquidity pool is 1000 BEE and to create one distribution contract is 100 BEE.
It's crucial to emphasize that this proposal will only expedite liquidity rewards for Hive markets and the GLX rewards for other markets liquidity pools is a separate development effort planned for a later date. The Genesis League Sports team will contribute minimal development work to this initiative, primarily focusing on integrating the necessary functionalities within the GLS ecosystem to support the liquidity provision.
We encourage all members of the GLS community to review and vote on this proposal. Your engagement and participation are essential in shaping the future of the Genesis League Sports ecosystem. To vote for the proposal, please visit one of the following options:
Thank you for your continued support and involvement in our vibrant community.