TIP-065: tBTC Fee Holiday
AI summary
This proposal, TIP-065, suggests temporarily eliminating the fees for minting and redeeming tBTC, a wrapped Bitcoin token on the Threshold Network. For 60 days, the minting fee will drop from 0.1% to 0%, and the redemption fee from 0.2% to 0%. The goal is to attract more users and liquidity to tBTC by removing these costs, making it more appealing for DeFi activities like lending and trading. After the 60-day period, fees will revert to their original rates.
If passed, users will be able to mint and redeem tBTC without incurring any fees for two months, potentially increasing tBTC's total value locked (TVL) and usage within the DeFi ecosystem. This benefits new and existing tBTC users and traders by reducing costs and improving arbitrage opportunities, while the DAO temporarily foregoes revenue from these fees.
Voting results
🐳 Whale votes
0 votes > 5% VPFull proposal
Vote Type Token holder DAO Snapshot with a 7-day vote period.
DAO-elected Sponsors @sap, @JohnPackel, @Eastban
Timeline 5 days for comment / discussion on this proposal. Token holder DAO Snapshot with a 7-day vote period.
Proposal Reduce tBTC mint fee to 0%, and reduce redemption fee to 0% for 60 days.
After 60 days, mint and redemption fees will be reinstated at their current values of 0.1% mint and 0.2% redemption.
Background This proposal suggests a temporary pause of the tBTC mint fee, and a reduction of the redemption fee, to eliminate friction for new users of tBTC and enable new ut…