SNXweave Weekly Recap 87

May 3, 2023

The following post contains a recap of news, projects, and important updates from the Spartan Council and Core Contributors, as well as the Grants Council and Ambassador Council from last week.

🚨Election Results🚨

• Your Spartan Council members for the epoch will be Adam, Burt, Cavalier, cyberduck, Danijel, dsacks, Jackson, and ml_sudo
• Serving the community on the Treasury Council this epoch will be Carrot Anderson, Elliptic-crv, Kain, and SpartanGlory
• Our Grants Council members will be ALEXANDER, CT, JVK, sunny, and synthquest
• And lastly, your Ambassadors for the coming epoch will be GUNBOATs, Kevin, mastermojo, Matt, and Westie

Thank you to all who ran, voted, and participated in governance this epoch, and congratulations to our newly elected Council members!

Spartan Council and SIP updates

Now onto our regular updates…while the Spartan Council & CCs didn’t hold their regular meeting last week, the public gov call happened instead. Be sure to check out the recording of the call if you missed it, as several topics were discussed, including: DAO/Council updates, Optimism Trading Incentives, Perps updates, Frontend Decentralization, V3 updates, and overall ecosystem updates.

There were also a couple of SIP presentations last week, so let’s review them:

SIP-2012: Establish a Configurable Value for Spartan Councilors Required to Pass Meta-Governance Votes

• TerraBellus proposed this in response to the “locking up of governance” that has happened this past epoch due to the participation failure of an elected Spartan Council member
• A previous SIP allowed SC members to reduce the number of votes considered to be unanimous decision in the event that one refuses to participate
• However, this SIP proposes an adjustable setting of n-2 for voting on meta-governance SIPs and SCCPs, where n represents the council’s current seat count, rather than requiring a unanimous passing vote by the members of the Spartan Council
• Terra explained that the setting would be configurable by a meta-governance SCCP and would revert back to n-1 for the next epoch if the SIP is passed
• Kaleb questioned why meta-governance votes should be different from governance votes, which can pass on a simple majority
• Adam chimed in saying he would prefer at least a super-majority (2/3) for meta-governance decisions
• Adam also questioned if there might be an opportunity in reevaluating the quadratic voting function to weigh diversity of voter wallets higher than they currently are
• There was then some discussion on the risk to governance if the n-2 was adopted (vs. n-1)

— Kaleb said it would be unrealistic that anyone would ever be able to take over 6 seats

— Adam added that it only becomes a recursive problem if one person is able to buy a majority of the seats (5+) which would mean we have failed at decentralized governance — so again, not likely

• It was also suggested that, sometime in the future, a token-holder-override option be made available (which would give the ultimate decision power back to the debt holders) but that is outside the scope of this proposal
• This SIP was approved and implemented with 7 votes in favor

SIP-2011: Perps V2 Updates

• Kaleb presented this SIP, which proposes three main changes to the liquidation process for Perps V2:

1. allMarketSummaries was added to provide an overview of all markets, with both legacy & V2 markets in a single contract call
2. Removal of the ability of accounts to interact with their position and margin, if there are pending orders that are yet to be executed, and
3. Immediate cancellation of pending orders when an account is flagged for liquidation.

• Flagging was introduced as well to notify liquidators of eligible accounts
• In order to ensure that liquidations take place without delay, this proposal incorporates the ability to immediately cancel pending orders, upon being flag
• This SIP was approved and implemented with 7 votes in favor

Now that SIP-2011 has been implemented, SCCPs 293 and 295 were also able to be pushed through. These three proposals, in combination with the SIP to add new perps markets, and the SCCPs to increase max funding velocity and lower fees, should collectively help drive more volume for the protocol!

Or in Kaleb’s words, low fees, high caps, moaaaaaaaar leverage, the works — enjoy!

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SIP/SCCP status tracker:

SIP-2012: Establish a Configurable Value for Spartan Councilors Required to Pass Meta-Governance Votes, Status: implemented

SIP-2011: Perps V2 Updates, Status: implemented

SCCP-293: Update Perp Parameters, Status: implemented

SCCP-295: Deter Trading with Atomic & Delayed Orders, Status: implemented

SIP-298: Adding APT, LDO, ADA, GMX, FIL, LTC, BCH, SHIB, and CRV to Synthetix Perps V2, Status: approved

SCCP-298: Increase Max Funding Velocity, Status: implemented

SCCP-296: Lower Max Liquidation Fees, Status: implemented

SCCP-297: Lower Liquidator Fee Ratio, Status: implemented