Did you read the part of the proposal where if it passes the DAO is going to deploy 50 ETH + equivalent value of SPS to build a v3 position? At today's price that is roughly $266,000 of liquidity going to build a new SPS:ETH pool on the Ethereum blockchain. It's almost no practical change in available liquidity, we just stop paying a million SPS per month to rent liquidity and the DAO would start earning the fees on what little trading volume there is on ETH.