With the upcoming implementation of SIP-2013: Dynamic Gas Fee Module, Synthetix has introduced an update to Synthetix Perps to enhance the perps keeper system, making it more decentralized and resilient in response to gas price spikes.
Please note that the dynamic gas fee module is not live yet, and will be implemented over the next 48 hours.
The Challenge with the Flat Fee Keeper Reward
However, this flat fee system proved inadequate in covering gas costs for order execution and couldn't properly incentivize community keepers, as gas costs often exceeded the rewards earned from order execution.
The Importance of Keepers in Synthetix Perps
Keepers play a crucial role in the Synthetix Perps ecosystem by automating core functionalities: delayed order executions, delayed off-chain order executions, and liquidations. They are rewarded in sUSD by traders for executing orders. Decentralization is critical and the Synthetix community encourages users and partners to run their own keepers, improving network reliability.
Introducing the Dynamic Gas Fee Module
The dynamic gas fee module is designed to adjust the minKeeperFee within bounds set by governance, allowing the system to adapt to varying gas prices and ensuring a decentralized network of keepers remains cost-effective.
With this module in place, the minKeeperFee will be calculated based on on-chain variables, such as the ETH/USD price, L1 and L2 gas prices, and a specified profit margin. This approach ensures keepers are adequately compensated for order execution, making the system more efficient and secure.
The Benefits of the Dynamic Gas Fee Module
By implementing the dynamic gas fee module, Synthetix will improve its keeper system by:
- Ensuring keepers are fairly rewarded for order execution, encouraging more users to run their own keepers.
- Making the keeper system more resilient to fluctuating gas prices
- Enhancing decentralization within the Synthetix Perps ecosystem, contributing to network stability and reliability.
In conclusion, the dynamic gas fee module represents a significant step forward in optimizing the keeper system on Synthetix Perps.