OIP-17 Platform Fees & Distribution

OctoFi

Hey Octonauts,

Since launching our community forum (den.octo.fi) we've been met with in-depth feedback far exceeding what we expected.

The community has proven to streamline the decision making process a great deal when equipped with a well structured discussion forum.

As a result we present OIP-17 to combine OIPs 14 and 16, and finalise the details for launching our platform fees sooner than expected.

Subject to change, this is a preliminary proposal open for comment, official OIP and vote to follow.

Fee claiming:

Fees collected as stablecoin (USDC/DAI)
Collected fees paid out in stablecoins too
Fee distribution snapshots occur at the end and beginning of each month (08:08:08 UTC)
Earnings proportional to OCTO holdings
Only OCTOs held entire period get paid
Between snapshots you are free to trade or send OCTO, you just need to hold
at the last snapshot the same amount or greater, as at the beginning.
Project / Exchange Wallets are excluded
If you hold the OCTO inside an LP share, we can't distribute to you as well, but don't worry you will be able to yield farm and also claim LP rewards anyways.
Already staked OCTOs from interest program are included
All holders eligible (no min / max limits)
No stake to claim required (just HODL in your Ethereum Wallet)

Platform fee collection addresses will be announced and adhere to our strict transparency standards. 100% of collected fees/commissions are distributed to eligible OCTO holders each snapshot period.

Fee structure:

Function	Platform Fee (%)	OCTO Holder Benefit
Spot trading	0.2%	Tiered discount (TBD)
Fiat Gateway (On-Ramp)	No platform fee	Less onboarding friction
Fiat Gateway (Off-Ramp)	No platform fee	Partner commissions (~ 1%)
Instant Swap (Aggregator)	No platform fee	Partner commissions (~ 1%)
Spot Trading Deposit	No platform fee	Less onboarding friction
Spot Trading Withdraw	No platform fee	Less onboarding friction
NFT Trading	No platform fee	Partner commissions (~ 2.5%)
Launchpad Private Sale (Service)	2% of funds raised	FREE (lock funds 1 year)
New Asset Listing (Service)	8,888 USDC	FREE (lock funds 1 year)

Voting will be open for no more than a few days and in the meantime you can discuss here. Some minor changes have been made to the Fee Structure as shown above.

Cost: Nil
Question: Shall we combine OIPs 14 and 16 to proceed with fee launch?

Best regards,

Dr Octavius.

https://octo.fi/#/tools/governance/octofi/proposal/QmSjChcZweYjCboE1ThS4xbMUX4Tk9UiCjb5dCE2yj4mKT

MoonFace76

OctoFi Hi guys, just read OIP-17. I could be wrong, but won’t taking the snapshot at the beginning and end of each month cause pump and dumps during those times? Couldn’t we introduce a couple of random snapshots during the month? Just a suggestion. Thanks

could we make it a weekly thing, but have payout of fees at the end of the month? So if you hold for 1 week you get a quarter of what you get if you hold for 1 month. That way people won’t be annoyed having to hold for a full month, but may prevent pump and dumps. The snapshots could be random during each week.

DeFi_King

SOUNDS GOOD!!

DelinquentMind

I think this is an improvement. Both snapshot dates need to be spelled out, gaming will ensue but it seems this is what the community wants vs staking. Effectively the actual holding period is 24h (if I understand beginning and end of each month would be 08:08:08 UTC on the last and first day of the month?).

Other than that I think we go with this and get started! My only point would be maybe it could make sense to have a small fee for the Instant Swap Aggregator as this is one of the USPs, but this can be done later after we attract users.

OctoFi

DelinquentMind We've considered the ins and outs, and will have it covered. As for the aggr fee, to begin with the referral commissions paid from our partners to OctoFi are plenty, but as the product improves we can explore other value adds that might incur additional fees. Regardless, we are confident in this being a really useful tool :-)

CFow

Overall, sounds great for onboarding users and starting the fee distributions.

My concern with this snapshot strategy is the potential for pump and dump situations at the beginning and end of the month. Will this be possible?

OctoFi

CFow All under control ;-)

nathanj

Launchpad? I must have skipped that line in the roadmap.

All the Platform Fees look good to me.
For the Partner commissions, is this something that the user is charged by the 3rd party and is given back to OctoFi?

OctoFi

nathanj No cost to user, they're in fact referral commissions paid by partners to OctoFi (directly to fee distributions).

CFow

OctoFi Thank you and glad to hear it! Can you elaborate at all? Doing my best to not trust and verify 🙂

JohnnyCatsville

What are the benefits of snapshots to staking though? I would agree with @CFow that staking would not produce any pump/dump between snapshot most likely...

ciko85

Couldn't be done as staking but with instant unstake option? This would partly remove supply and probably some upwards price pressure...what you guys think?

AkadoSang

This proposal has my support

ciko85 we can always submit a new proposal later to do that. Right now let's just get the fees going to OCTO holders.

DelinquentMind

ciko85 Even 4h unstake would make a huge diff, but seems like 8x freedome is the Octo way xD

DelinquentMind

AkadoSang Agreed, LFG

cryptamurai

Like this new OIP set up.

Onwards frentacles!

tosquito92

Fantastic proposal, nice clarification.

zxrainbowzx

One concern I have is that Person A who holds 100 OCTO for only a few minutes to be included in the snapshots out of the whole month is entitled to the same rewards as Person B who holds 100 OCTO for all 30 days.

This also would discourage outsiders from buying OCTO until the very end of the month because they would have already missed the first snapshot. An outsider could buy 100 OCTO on day 2 of the month and hold for the entire month but not be entitled to any rewards but Person A would be.

I think weekly rewards distribution works better as it would discourage someone from selling their coins on day 1 and having to make sure they buy back within 7 days vs. being able to sell their snapshot after day 1 and then coming back on day 30

rec0v3r

Ger

Love the non-staking approach. People who believe in OCTO's long term vision should'nt be afraid of pump and dumps. Traders will eventually lose a trade and miss fee's. Just holding with snapshots is fine. Staking is a nightmare in my jurisdiction, the difference between an activity (putting tokens at stake) and doing nothing but getting something by just holding is huge. +1 for this proposal