GMX Proposes Strategic Token Buybacks and 180-Day Unstaking Period

The decentralized exchange GMX has unveiled a new governance proposal, designated as GMLabs-003, aimed at restructuring its revenue distribution and staking mechanics. The proposal outlines a plan to utilize surplus revenue generated from its Solana deployment to conduct open-market buybacks of GMX tokens. Additionally, the initiative seeks to bolster long-term ecosystem stability by introducing a significant 180-day waiting period for unstaking assets on the Arbitrum and Avalanche networks.

Revenue Allocation and Buyback Mechanics

Under the terms of the GMLabs-003 proposal, the protocol intends to redirect its fiscal resources to support the value of its native token. All remaining protocol revenue derived from the Solana integration, following the mandatory GT token buybacks, will be allocated toward purchasing GMX. These acquired tokens are slated to be deposited directly into the staking rewards pool, potentially increasing the yield for long-term participants. The existing mechanism for GT buybacks will remain operational and unchanged to ensure continuity for that specific asset class.

Staking Reforms and Implementation Timeline

A core component of the proposal is the overhaul of the withdrawal process for staked assets. This change is designed to discourage short-term speculation and align participant incentives with the protocol's longevity. Key features of the new staking policy include:

• The introduction of a 180-day unstaking waiting period for both GMX and esGMX positions.
• Applicability across the primary deployments on the Arbitrum Layer 2 and Avalanche blockchain.
• Requirement for users to submit a formal request, with the countdown beginning upon submission; previous staking duration will not be credited toward this period.
• The ability for users to cancel pending unstaking requests before the 180-day window expires.

Notably, existing positions do not require manual migration to the new system, though they will be subject to the updated withdrawal rules.

The governance document indicates that these adjustments are scheduled for implementation on October 28, 2026, contingent upon technical readiness and final community approval. By extending the unstaking duration and reinforcing reward pools through buybacks, GMX aims to solidify its position as a leading decentralized perpetual exchange within the competitive DeFi landscape.