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represents a passage Software update v9.4 for the dYdX community A critical development in that decentralized protocols agree incentives at the base layer. By introducing a sliding partner fee feature, dYdX moves its partner program from static heavy protocol control to a dynamic, performance-based economic engine, a model focused on efficiency and merit.
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Criticism of the fixed-level model
Affiliate rewards on decentralized exchanges have historically been based on fixed “VIP” ranking systems. Although functional, these systems were slow and inefficient. The original dYdX VIP model required custom governance proposals to simply modify or expand partner reward structures. This created two main points of friction:
- Government Cost: The focus of DAO is diverted from strategic protocol decisions (such as risk parameters or new markets) to maintain operations.
- Delayed incentives: The scores may not immediately reflect the actual influence and business volume of the partners.
The v9.4 update fixes this, replacing the old fixed system with a built-in persistent merit mechanism.
The new model: performance-encoded dynamic commissions
Central to this update is a structural change in revenue sharing. Instead of the previous basic commission of 15%, all partners receive it automatically 30% revenue share of competitors’ fees, doubling the base commission.
The main innovation is found in the sliding scale, which is automatically calculated based on the reference volume inside The last period of 30 days. This ensures that commissions are a direct, real-time function of recent performance.
The new bikes are:
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| Reference volumes in 30 days | Commission fee |
| Up to $1,000,000 | 30% |
| $1,000,001 – $10,000,000 | 40% |
| Over $10,000,000 | 50% |
This structure ensures that high-volume partners who sell more than $10 million in a month are immediately eligible for a 50% share of premium revenue for the next 30 days. This mechanism encourages ongoing commitment, as rates are adjusted based on actual verifiable performance.
A structural victory for decentralized governance
From an analytical perspective, the most important impact of the sliding partnership fee feature is its ability to simplify governance. By automating partner scoring, the protocol eliminates the need for manual inclusion suggestions on VIP whitelists.
This liberalization allows the DAO to focus on high-level strategic decisions, such as risk management, market expansion and core protocol development.
dYdX uses programming strategies to enhance equity and economic efficiency, allowing the governance layer to operate closer to its ideal strategic model. dYdX provides a compelling example of how a decentralized protocol can improve the economics of its coin by being highly competitive and independently managed.
Conclusion: The DeFi protocol is mature
The 9.4 update demonstrates dYdX’s commitment to its network of partners and growing protocol design. By setting rewards based on merit and precisely aligning earnings with actual influence, dYdX not only increases the earning potential of partners to a significant level, but also strengthens its infrastructure as one of the most dynamic and efficient decentralized exchanges in the derivatives market.
The move to a 30-50% commission structure signals a clear focus on driving sustainable liquidity and long-term growth, and is a necessary development for any protocol that aspires to lead in the competitive DeFi space.
