# IIP-63 MVI Liquidity Mining - August 2021

**URL:** <https://gov.indexcoop.com/t/iip-63-mvi-liquidity-mining-august-2021/2183>\
**Category:** Proposal\
**Tags:** IIP\
**Created:** [29 July 2021 22:06 UTC](https://gov.indexcoop.com/t/iip-63-mvi-liquidity-mining-august-2021/2183 "2021-07-29T22:06:07Z")\
**Posts on this page:** 1\
**Showing post:** 16

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**Author:** ![overanalyser](https://yyz1.discourse-cdn.com/flex027/user_avatar/gov.indexcoop.com/overanalyser/32/1319_2.png) [@overanalyser](https://gov.indexcoop.com/u/overanalyser)\
**Post date:** [1 August 2021 21:20 UTC](https://gov.indexcoop.com/t/iip-63-mvi-liquidity-mining-august-2021/2183/16 "2021-08-01T21:20:07Z")

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> [@Matthew\_Graham](#):
>
> Would you like to help develop an additional IIP that targets a $15M pool by doubling the rewards to 220 INDEX per day?

Hi @Matthew_Graham

Looking at [Liquidity review - Jul 2021 - #4 by overanalyser](https://gov.indexcoop.com/t/liquidity-review-jul-2021/2090/4)

In July we LP’s were receiving ~ 30% income from a combination of Fees and INDEX rewards and we were spending 3,286 to secure ~$5M.

At the end of the Month, this was about 18% from Fees and 18% from Rewards. If we are targeting $15 M, and trade volume is unchanged, then fee income will Drop to ~6%. So we will need to boost the INDEX rewards to ~24% of the $15 M, so we need ~ 4x the number of rewards to give a 3x increase in liquidity. **i.e. 13,144 INDEX (or 438 per day)** for $15 M liquidity

Note, there are lots of assumptions:

- MVI price changed (affects liquidity AUM)
- ETH price unchanged (ditto)
- INDEX price stays at $25.
- Trade volume is unchanged
- LP’s respond to the changes in rewards (If anything, I think we have seen them pretty insensitive to the level of rewards)

If INDEX appreciates quicker than MVI or ETH, then we may well see even more LP tokens added to capture the income…

A quick spot check indicates we currently have $6 M liquidity, and INDEX rewards are paying 20% annualised @ $30, so we might get $15 M without doing a full x4.

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_[View the full topic](https://gov.indexcoop.com/t/iip-63-mvi-liquidity-mining-august-2021/2183)._