Centralized exchanges often use trading competitions to incentivize participation in a market. I wanted to gauge if this is something FinNexus could try using as a community building tool.
The idea would be to have a weekly trading competition for a month with a set amount of rewards allocated from the community to incentivize user participation.
The competition would be something simple as rewarding weekly call or put option purchases of BTC and/or ETH that expire or are exercised profitably (in the money?) with a share of the FNX reward allocation based on their option purchase volume.
So at the end of the week, all users who win their options trade are rewarded with a share of bonus FNX based on their share of that weeks purchasing pool of winning options. This is in addition to the profit they can get from actually exercising the profitable option.
A reward allocation can be chosen that can compensate for the gas fees it would take to participate in the competition.
As it is weekly, unlike the liquidity mining, the competition can be stopped if it doesn’t work as intended or the reward allocation can be tweaked to balance the incentives.
It can be deployed in the FNX community first as a trial and if it worked then it can be marketed/targeted to other communities to draw target users to the platform.