Thanks a lot for the proposal @austin_fluent
Following the successful deployment of Pyth on opBNB—approved after community discussion—it’s great to see interest from another promising chain ecosystem like Fluent.
As with any new ecosystem, Fluent carries some uncertainty. Therefore, efficient resource allocation is crucial to support sustainable growth. Expanding Pyth’s presence on new chains brings benefits like increased protocol integrations, market share, and usage metrics. However, I suggest we also prioritize revenue as a key metric.
To ensure value from a testnet and mainnet deployment, it would be ideal if Fluent committed to running a price scheduler that proactively updates on-chain price feeds in both environments. This would (1) streamline the integration of Pyth for developers and protocols on Fluent, and (2) ensure a minimum, predictable oracle fee revenue.
For (2), I propose targeting $5,000 in monthly revenue for the Pyth DAO from Fluent. I welcome input on the optimal revenue metric, but I believe $5,000 is a reasonable starting point.
Several scenarios exist to achieve this monthly fee target, each with different implications for Fluent’s DeFi ecosystem and for Pyth.
As a reminder, Pyth’s design supports optional data fees for on-chain price feed updates. Specifically, each feed update incurs a fee in the native chain token; if multiple feeds are updated in a single transaction, the fee scales accordingly.
The table below illustrates scenarios based on variables such as feed count and update frequency, each hitting the $5,000 target by adjusting individual feed fees accordingly.
For example, in Scenario 1, Fluent commits to updating 1 feed every minute, totalling 43,200 monthly updates. Achieving $5,000 would require a $0.116 fee per update. Conversely, Scenario 7 involves updating 10 feeds per minute, resulting in 432,000 updates and requiring only a $0.012 fee to reach the target.
From experience, prospective Pyth users generally prefer “as frequent as possible” updates, typically every minute or at a price deviation threshold of 0.1-0.25%. Although DeFi developers often request the maximum feasible number of on-chain feeds, most new ecosystems begin with around 5-10 core assets.
Thus, I recommend Scenario 7, where Fluent updates 10 distinct feeds per minute, setting fees at $0.012. This pricing is both accessible for DeFi protocols and encourages further on-chain updates, whether through additional updates on top of the sponsored ones or via new feeds not supported by the Fluent Scheduler.
Looking forward to hearing everyone’s thoughts on expanding Pyth to Fluent and how best to approach its implementation.