What is this about?

ApolloX, a leading decentralized exchange (DEX) for crypto derivatives, has applied for a grant of 640,000 ARB to be used as trading incentives for ApolloX V2 and liquidity incentives for ALP, their liquidity provider¹. The grant will significantly increase the size of their incentive program, boosting trading volume and Total Value Locked (TVL) for ApolloX V2 and Arbitrum¹. ApolloX V2 introduces competitive product features to the Arbitrum ecosystem, including up to 750x leverage for crypto perps under Degen Mode and a dynamic fee structure¹. The grant will be used over a period of 16 weeks, starting in early October 2023 and ending on 31 January 2024¹.

How is the community reacting?

The community's reaction to ApolloX's proposal is mixed. Matt_StableLab confirmed that ApolloX's submission meets all requirements to be considered for a snapshot vote². Vaultka praised ApolloX's proposal and their commitment to thrive in Arbitrum¹⁰. However, meyaf320219 questioned the value that ApolloX brings to the Arbitrum ecosystem¹¹. In response, ApolloX elaborated on their reasons, stating that their growth increases derivatives activity on Arbitrum¹². ITUblockchain expressed uncertainty about the primary reason for ApolloX's grant request, questioning whether it is to expand their project or to contribute to the Arbitrum network. Due to these concerns, they decided to abstain from voting¹⁶.

Why this is positive?

ApolloX's proposal is positive as it aims to increase competitiveness and encourage innovation among derivatives protocols¹. The grant will allow ApolloX to significantly increase the size of their incentive program, bolstering trading volume and Total Value Locked (TVL) for ApolloX V2 and Arbitrum¹. ApolloX V2 introduces competitive product features to the Arbitrum ecosystem, including up to 750x leverage for crypto perps under Degen Mode and a dynamic fee structure¹. ApolloX's growth on Arbitrum would contribute to overall transaction activity and total value locked (TVL) on Arbitrum¹².

Why this is negative?

The negative aspect of ApolloX's proposal is the uncertainty expressed by some community members about the primary reason for ApolloX's grant request. ITUblockchain questioned whether the grant is to expand their project or to contribute to the Arbitrum network¹⁶. This uncertainty could potentially lead to a lack of support for ApolloX's proposal within the community.