Our only reservation is that 1% may be a little too low. A 2% bps rate may allow Uniswap to find a middle ground between competing with Curve and DODO, whilst also having enough margin for LPs to consider this profitable.
How is pennblockchain figuring the 2% is more optimal than the 1%? Is it just because it is between the Curve 3-4 bps and Dodo’s 1bps fee? Uniswap should be competitive with CEX’s as well, as stated above FTX has 2/7’s bps and 0/4 bps fees.
Governance should add a 1 basis point fee option for the following reasons:
- Curve’s stablecoin markets have 3-4 bps fees.
- Dodo’s stablecoin markets have a 1 bps fee.
- FTX’s fees for retail are 2/7bps fees and for whales 0/4bps.
I support this proposal. A 1 bps fee and tick spacing makes sense for this proposal and adds more flexibility of choice to other pools.