Ronin’s Katana DEX to launch v3 upgrade with reduced rewards
Ronin’s Katana DEX will see a v3 upgrade aimed at enhancing trading efficiency and liquidity. The upgrade will introduce concentrated liquidity pools and customizable fee tiers, allowing liquidity providers (LPs) to set their desired profit margins and risk levels. This change aims to improve both capital efficiency and reduce RON emissions in the liquidity rewards program. Recently, Ronin announced a strategy to cut Katana DEX’s liquidity rewards by 75% in two phases, with the first cut already in March. The second phase, scheduled for November 26, will further decrease the rewards rate, expected to save approximately 2.7 million RON tokens quarterly while maintaining liquidity levels. Ronin asserts that the decreasing need for aggressive rewards is due to the growth of its token volume and liquidity, thus aiming for a more sustainable ecosystem while supporting its treasury initiatives.
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