On November 12th, Split Capital proposed the "BLUR Fee Conversion and veBLUR Token Economics" plan at the Blur Governance Forum. The proposal aims to add a framework to increase protocol fees and redirect the fees back into the locked-in BLUR (veBLUR) tokens. Currently, the Blur NFT market protocol has been implementing a 0% market fee while enforcing a 0.5% creator royalty. The proposal suggests eliminating the mandatory creator royalty and adding a 0.5% protocol fee to each transaction. It also recommends establishing a fee committee that can change the protocol fee rate for fast adjustments based on market conditions and competitive landscape.
Split Capital proposes changing the BLUR token economics by using two tokens, BLUR and veBLUR, to manage Blur's utility and governance, similar to Aerodrome. It also proposes adding 1% of the total supply (30 million BLUR) as a reward to the current fourth season, which will be distributed to Blur users based on their total points at the end of the season. veBLUR is used for governance, and BLUR holders will be able to vote by staking their tokens and exchanging them for veBLUR. Other tokens can be added to the veBLUR NFT at any time, and the lock-up period (also known as the voting custody period) can be up to four years. The longer the ownership time, the higher the voting power of the underlying locked balance.
