BSQ trading fee update on Cycle 39

MwithM commented 1 year ago

_This proposal keeps a record of the process to keep the BSQ trading fee at the target discount to BTC trading fee. It will remain open until we need to update BSQ trading fees again._

Last update was #379

Cycle 39

Parameters (see issue)

USD/BTC price: 1900
USD/BSQ price: 0.84
Current BSQ discount: 39.5%

It's necessary to update BSQ trading fee as current discount is not between the 45-55% target.

New BSQ trading fees

A change parameter request for BSQ trading fees will be submitted to DAO voting: New BSQ maker fee: 14,21 BSQ per BTC. New BSQ taker fee: 104.24 BSQ per BTC.

BSQ trading fees are calculated using the values proposed at https://github.com/bisq-network/proposals/issues/365. Discount target is 50% and should be adjusted back to exactly 50% every cycle if it's not within the 45-55% range.

MwithM commented 1 year ago

Maker: f7cbd6161acf2da00bd694db98243a98cd3ffa1874a6b503af48a7655ecd4a3d Taker: 589574a9973463b0b14ef6b87cd7fec2f4704bab8142fa2411780037b90bfc0e

MwithM commented 1 year ago

New trading fee was accepted, but updating filters to new parameters caused some trades to fail.

If BSQ trading fees are less frequently updated, these inconveniences will also be reduced. The range to update trading fees will be increased from 45-55% deviation to 40-60% deviation. Wiki will read like this: "If existing BSQ discount is under 40% or over 60%, calculate new BSQ trading fees to restore a 50% discount."

Cycle 40 will use this new margin to calculate if new BSQ trading fees are needed.

MwithM commented 1 year ago

_This proposal keeps a record of the process to keep the BSQ trading fee at the target discount to BTC trading fee. It will remain open until we need to update BSQ trading fees again._

Last update was #379

Cycle 40

Parameters (see issue)

USD/BTC price: 20300
USD/BSQ price: 0.76
Current BSQ discount: 55.7%

It would be necessary to update BSQ trading fee as current discount is not between the 45-55% target, but I will only submit the change parameter proposals to have them rejected. By rejecting the proposal, Bisq will start to use a wider range of 40-60% deviation, as suggested in the post above: If existing BSQ discount is under 40% or over 60%, calculate new BSQ trading fees to restore a 50% discount.

New BSQ trading fees

A change parameter request for BSQ trading fees will be submitted to DAO voting: New BSQ maker fee: 16.03 BSQ per BTC. New BSQ taker fee: 117.53 BSQ per BTC.

BSQ trading fees are calculated using the values proposed at https://github.com/bisq-network/proposals/issues/365. Discount target is 50% and should be adjusted back to exactly 50% every cycle if it's not within the 40-60% range.

MwithM commented 1 year ago

The reason to submit a change parameter proposal is to vote the change in a formal manner. Perhaps this change was not controversial and a DAO voting is not necessary and it would not be necessary if I did realize that we were so close to the end of proposal phase. Anyways, the worse that could happen if the change parameter gets approved instead of rejected is that the discount will be back to the 50% target as if I didn't propose to increase deviation range.

MwithM commented 1 year ago

These proposals must be rejected!

Maker BSQ fee: b9ec0cbe0105fb5368a8ee1642382698263b0de3db0fac3b5ce261aa78074ab8 Taker BSQ fee: c3ddab5ee202b3bba2390e3a04a81525fe3d0c895f58c249726f7bf3df7db85d

By rejecting these proposals, Bisq will start to use wider ranges to update BSQ trading fees, from current 45-55% discount to 40-60% discount.

MwithM commented 1 year ago

It was close, but proposals were rejected.

Trading fees stay at previous levels (maker 14.21, taker 104.24) and the range to update the trading fees is increased to 40-60% discount.

Wiki has been updated.

MwithM commented 1 year ago