TL;DR
This proposal allocates 40,000,000 DYM from the community pool to fund professional market-making for DYM on centralized exchanges, starting with Binance and Bybit. The goal is to lift DYM’s ±2% order-book depth from ~$19K today — 2nd percentile among all Binance listings — to approximate levels of the 25th percentile ranging to exchange-wide median, restoring DYM to a normal, healthy book.
Context
DYM’s order-book liquidity is critically thin. On August 16, 2026, we sampled the live order books of all 481 Binance USDT spot pairs and measured the depth available within ±2% of the mid price:
| Metric | ±2% depth (bid + ask) |
|---|---|
| DYM/USDT | ~$19K (rank 471 of 481 — 2nd percentile) |
| Rank 400 (TURBO) | ~$40K |
| Rank 300 (GLM) | ~$73K |
| Median Binance pair | ~$108K |
| 25th percentile | ~$50K |
| Celestia (TIA), for comparison | ~$390K |
In practical terms, DYM has roughly $9–10K of depth per side. A single ~$10K market order moves the price more than 2%. This has direct consequences:
- Volatility amplification. Small flows produce outsized price swings in both directions.
- Institutional inaccessibility. No fund or treasury can build or exit a position of meaningful size on the book.
- Reflexive delisting risk. Exchanges evaluate listings on depth and volume; the thinner the book, the greater the risk to DYM’s most important venue.
- Poor UX for the community. Every holder pays the spread and slippage that a healthy book would absorb.
Liquidity is arguably the single highest-leverage use of it: every other use of the pool is ultimately settled through this order book. And because the funds are structured as a an option loan rather than a grant, deploying the bulk of the pool here does not permanently spend all of it.
Proposal
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Allocate 40,000,000 DYM from the community pool via a community pool spend to fund the necessary liquidity boost. Approximately 3.5M DYM is deliberately left in the pool as a reserve so governance retains capacity for future proposals during the term.
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Engage one or two new professional market makers under a token-loan agreement (industry-standard structure: loaned inventory, optional call-option strike aligned with holders, no sell-side discretion beyond quoting obligations).
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Bind the engagement to public KPIs, measured and transparent:
- Maintain ≥ $25K depth per side within ±2% on Binance DYM/USDT ≥ 95% of trading hours;
- Maintain a bid–ask spread of ≤ 50 bps for ≥ 95% of trading hours;
Motivation
The Market Making allocation is calibrated, not arbitrary. The KPI higher target is set at the exchange-wide median for Binance listings — a realistic step-change from today’s 2nd percentile, sized to what an inventory can credibly support across quoting bands. We are not proposing to get TIA-level depth; we are proposing that DYM’s book simply stop being an outlier.
A loan structure preserves the pool. Unlike incentive emissions or grants, loaned MM inventory is returned at term end. The expected net cost to the pool is limited to option exercises — which only occur if DYM appreciates — and not the headline 40M DYM.
The downside of inaction is asymmetric. A thin book compounds: depth deters volume, low volume deters depth, and listing status is reviewed against both. Restoring depth now, while DYM retains its top-tier listings, is far cheaper than regaining access after losing them.
Governance Votes
- YES — You support allocating 40,000,000 DYM from the community pool to fund KPI-bound market-making as described.
- NO — You oppose this allocation.
- NO WITH VETO — You consider this proposal spam or harmful to the protocol.
- ABSTAIN — You take no position but contribute to quorum.