Summary:
This proposal seeks DAO approval to allocate a liquidity mining budget of 10,000 HYDRA, distributed evenly across two strategic trading pairs on the new Hydra DEX:
- HYDRA/USDC
- HYDRA/WBTC
The incentive will be distributed at a rate of 5,000 HYDRA per pool per month
With an additional HYDRA:LYDRA pool can be deployed via treasury without causing inflationary pressure.
Context & Rationale:
HydraGon mainnet has now launched, bringing staggering performance with sub-second block times and 0.5-second finality—features that eclipse even the fastest L2s and many L1s.
As we approach the DEX activation phase, there’s strong momentum and excitement in the community. Liquidity mining will serve as a strategic catalyst to:
- Jumpstart volume and user adoption of the HydraGon DEX
- Attract core liquidity in blue-chip pairs
- Validate market pricing for HYDRA, a prerequisite for more complex financial integrations (e.g., oracles, lending, derivatives)
By focusing liquidity incentives on HYDRA/USDC and HYDRA/WBTC, we target assets LPs are most likely to already hold, thus concentrating TVL and reducing dilution.
Budget & Allocation:
| Pool | Monthly Incentive | Duration |
|---|---|---|
| HYDRA/USDC | 5,000 HYDRA | per month |
| HYDRA/WBTC | 5,000 HYDRA | per month |
| Total | 10,000 HYDRA |
A DAO review can be scheduled after 3 months to assess outcomes and determine next-phase scaling.
Options:
Yes — Approve the allocation of 10,000 HYDRA (5k per pool) to bootstrap the Hydra DEX
No — Do not allocate liquidity mining budget at this time
Execution Notes:
Upon approval, the incentives will be distributed through the Hydra DEX farming module. DAO multi-sig or a designated executor address will be responsible for deploying the funds in coordination with the core contributors.
Let’s fuel the engine and kickstart deep liquidity in the Hydra ecosystem.
