Simple Summary

This SCCP proposes to update the perps v2 parameters as per the below:

Skew Scale

Market	Current Scale	Proposed Scale	Proposed Slippage	Cex Slippage
CELO	41,250,000	20,625,000	42	15
CRV	75,000,000	37,500,000	20	9
DOT	15,000,000	7,500,000	10	4
ENJ	34,500,000	17,250,000	84	15
EOS	96,000,000	48,000,000	14	4
ETC	3,000,000	2,250,000	11	4
LDO	14,250,000	7,125,000	30	12
LINK	15,000,000	7,500,000	4	3
PEPE	22,500,000,000,000	11,250,000,000,000	32	14
SUI	50,600,000	25,300,000	30	10
1INCH	45,000,000	33,750,000	40	16
ZEC	585,000	438,750	37	14
ADA	300,000,000	150,000,000	6	3
ALGO	207,750,000	103,875,000	24	10
APT	6,075,000	3,037,500	20	7
AXS	3,750,000	2,812,500	24	9
PYTH	16,500,000	28,875,000	42	19

Slippage refers to the price impact incurred from trading with a 100k$ notional

Fees

Market	Current	Proposed	Curve
stETH/ETH	0 / 2	10 / 10	10 / 10

Abstract

Below is a description of the parameter changes proopsed in the SCCP:

• skewScale is the scaling factor of the relevant market in the underlying currency for computing PD and Funding Rates.
• maker/taker refer to the fees charged for opening a position that reduces / increase the skew with the help of the pyth offchain oracle.

Motivation

The proposed parameter changes on skew scale aim at increasing the incentive on arbitrageurs to arbitrage the skew by targeting an effective liquidity comfortably below liquidity available on centralized exchanges. While the motivation behind the changes on the maker/taker fees related to the stETH/ETH market, is matching curve fees and lean against narrow short-term peg volatility.

Copyright

Copyright and related rights waived via CC0.