Currently ApeSwap is providing 0.1 BANANA per Binance Smart Chain block via a specialized farm to incentivize the ApeSwap Lending Network. This proposal intends to further integrate & support ApeSwap’s current lending service (powered by Ola.Finance) into the ApeSwap ecosystem.

Namely, the proposal formally endorses the process to begin collecting 1 BANANA per block to be distributed to ApeSwap’s Lending Network. Initially, the 1 BANANA per block would be distributed in the same proportions as ApeSwap’s existing lending market incentives, displayed below:

Additionally, this proposal would give ApeSwap’s analytics team permission to adjust lending network allocations and add new markets/assets to optimize for maximum revenue back into the ApeSwap protocol. These adjustments would be publicly posted before enacting them, similar to ApeSwap’s bi-weekly farm optimizations.

As a result of the additional incentive allocation, more fees would be generated from the ApeSwap Lending Network. These fees would be used as follows:

• 90% to buy back BANANA on the open market
• 10% stored in the ApeSwap Treasury

Of the 90% portion of BANANA bought back:

• 30% will be burned (27% of total)
• 55% will be locked in the supply side of the lending network (49.5% of total)
• 15% will be used to compensate Ola (13.5% of total)

This fee split & distribution would be done on a quarterly basis, at the beginning of each quarter starting April 2022.

Option 1: Distribute 1 BANANA per Block

Proceed with the proposal as outlined above, allocating 1 BANANA per Binance Smart Chain block to be used exclusively for ApeSwap Lending network incentives.

Option 2: Do not Distribute 1 BANANA per Block

Do not proceed with the proposal as outlined above.

Notes

• View the current lending markets here.
• As part of this agreement, Ola will revitalize the ApeSwap Lending Network user interface to more effectively embody the ApeSwap brand.
• If this proposal passes, the lending market will be hosted at Lending.ApeSwap.Finance and include a direct link in ApeSwap’s navigation bar.
• Link to current lending program incentives