[BIP-304] Enable DFX/ETH Gauge with 2% emissions cap [Arbitrum]

PR with Payload

Gauge Proposal Template:


DFX Finance’s proposal to add a gauge for the DFX/ETH 50/50 on Arbitrum

References/Useful links:

Link to:
• Website: Main Website, dApp
• Documentation: Gitbook, Medium
• Github Page: Github
• Communities Telegram, Discord

Protocol Description:

DFX Finance is a decentralized foreign exchange (FX) protocol that facilitates the seamless exchange of fiat-backed stablecoins denominated in a growing number of currencies. Using a hyper-efficient AMM, optimized for low volatility trading, DFX provides FX swaps with rates that will beat any bank, money changer, or FX platform. DFX Pools currently have over $40M in TVL. DFX is the governance token of DFX Finance which allows users to vote on protocol changes and initiatives of the DAO, and also allows users to receive boosted emissions on deposits within the DFX ecosystem.

Price History DFX:

Price History for DFX can be found on Coingecko


The DFX/ETH 50/50 needs incentivization to migrate meaningful amounts of liquidity over to the Balancer ecosystem on Arbitrum, and to bring higher trading volumes to Balancer. As well, DFX Finance is committed to continue to engage in the Hiddenhand Finance ecosystem in a meaningful way to further deepen DFX liquidity onchain.


  1. Governance: DFX tokens serve as the governance token for the DFX Finance protocol. DFX token holders can vote on governance proposals through DFX’s snapshot. DFX forum is also used to discuss potential protocol changes and improvements.

  2. Oracles: DFX token does not rely on any external oracles. The DFX stablecoin pools uses Chainlink for its real world forex price feeds to facilitate efficient stablecoin swaps close to the spot price. The feeds can be found here: Decentralized Price Reference Data | Chainlink

  3. Audits: DFX has engaged with multiple auditors including engagements with Trail of Bits, Haechi, and Zellic to audit the DFX smart contracts.

  4. Centralization vectors: Treasury functions are controlled by a 2/4 multisig including treasury yield farming, and paying bribes.

  5. Market History: DFX has been transferable since March 2021.

  6. Value: This pool will be the primary source of liquidity for DFX on Arbitrum

DFX/ETH 50/50
Revised Pool: 0xa231aEa07Bb5e79aE162f95903806FC5AD65fF11
Revised Gauge: 0x04fc019017eD3F921D5ec11fFf84B870744BA0d1
Revised Root Gauge: 0x8F7a0F9cf545DB78BF5120D3DBea7DE9c6220c10


The Balancer Maxi LM Multisig eth:0xc38c5f97B34E175FFd35407fc91a937300E33860 will interact with the GaugeAdderv3 at 0x5efBb12F01f27F0E020565866effC1dA491E91A4 and call the addArbitrumGauge function with the following argument:

0x8F7a0F9cf545DB78BF5120D3DBea7DE9c6220c10 which corresponds to the 2% capped gauge for this pool.

Howdy, any particular reason for the pool owner not being delegated to balancer governance ?

@ZenDragon - would you be able to expand on that? Should we be delegating to Balancer governance? If so, how can we change pool ownership? I’ll bring this back to the contributors.

I do not see it as a “deal breaker” or major issue, just posing the question as to “why?”. For your team changing the swap fee would be the most relevant permission. Normally for pools receiving gauges Balancer should retain the ownership to manage this. The event that this pool needs to be placed in recovery mode or paused is highly unlikely, but that is the motivation for ownership delegation. Pool would need to be remade because owner is immutable, but maybe for a weighted pool it is super low risk in the eyes of voters.

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@ZenDragon confirmed with the contributors that when they were setting up the pool, they weren’t aware of the ability to delegate to Balancer governance. If Balancer is okay with moving forward with the current pool, we’d prefer that so as not to inconvenience LPs by shifting their liquidity to a new pool.

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@DFX_Finance We’re doing a lot of research into cool ways to improve good flow by changing fees dynamically based on market conditions. A lot of Balancers focus is on optimising the Exchange to capture the most flows an enable the most efficient markets. For example this BIP:

If the owner is not set to the 0xba1ba1… address, none of this is possible. There is no way for any address but the one specified when the pool was created to ever make changes.

Gauges are something granted to pools that are fitting into the general goals and directions of the ecosystem. For these reason it would be really better if we could make a new pool.

We’d be happy to do it for you and setup the Gauge and change the addresses in governance if that helps.

Get in touch if that works and we can get it done tomorrow :). Gas prices are low on arbi, and LPs will have to interact to deposit in the gauge anyway. Better now then in 6 months when we have something cool that doesn’t work because the owner is wrong :slight_smile:


Thanks @Tritium. Would appreciate it if you could assist us in setting up the pools to ensure that everything is in order. Thank you!

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We will report back and adjust the proposal once we have set up the new pool and gauge :slight_smile:

New pool and gauge updated in the proposal feel free to look it over and we can move this to vote :slight_smile:

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