EGP-35: Delegation of HyperVue to Construct and Deploy an Incentive and Points Program for the Hyperdrive Protocol

EGP#: 35

Title: Delegation of HyperVue to Construct and Deploy an Incentive and Points Program for the Hyperdrive Protocol

Author: Windra Thio, Mr. Sal, Simona Pop

Type: DAO Proposal

Status: Proposed

Date Proposed: 2024-09-27

Sentence Summary

The HyperVue Foundation is requesting to be tasked with the responsibility of deploying and maintaining an incentive points program for the Hyperdrive Protocol.

Paragraph Summary

As the Hyperdrive Protocol continues to deploy various yield sources and has future plans for automated strategies and fixed rate borrows, the importance of certain actions such as LP’ing to ensure deep liquidity markets exist for potential fixed borrow assets are important to test out if the product is appealing and can generate usage from DeFi users. HyperVue believes that incentivizing those key aspects of the protocol is necessary to unlock the potential of the product.

Motivation

• The HyperVue Foundation is committed to ensuring the success of the Hyperdrive Protocol. This is one of the key things we believe is necessary in doing so, and for that reason we are requesting for the delegation of this responsibility by the DAO towards the foundation.

• HyperVue believes initiatives such as these as part of its primary roles and responsibilities towards the protocol and the DAO.

• The majority of points programs being utilized currently have underperformed or not achieved the goal of what they’re intended to fully achieve. HyperVue is interested in exploring new and innovative ways to bring true value to the program for both the users as well as the stakeholders of the protocol.

• The design and analysis of how points are rewarded to users very much reflect the amount of value they have brought to the product. We operate in good faith that the DAO recognizes these efforts done by the users as we are providing a means to measure their value.

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Specification / Proposal Details

• HyperVue will be collaborating with seasoned DeFi points design advisors to construct and refine the design of a points program catered toward the growth of the protocol.

• The foundation will work alongside other contributors as well as partners of the protocol to identify key actions that aid in the usage and experience of the protocol for all users.

• The foundation will host the server to maintain all database information and query actions done on the protocol for various UI’s to pull and display points on their respective products. Hypervue will take the necessary measures for data security and privacy measures to ensure users are protected and the data is not compromised.

• Throughout the points program, the foundation will post frequent updates on key information such as actions that are eligible for points, and different phases of the program.

• At the discretion of the HyperVue Foundation, when the points program ends, the results will be posted with distributions in a Protocol Proposal.

• Upon the approval of delegation from the DAO to the Foundation, we are estimating to have the incentive points program running within 2-4 weeks.

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Next Steps (Voting Outcome Summary)

1. HyperVue will take questions on the forum as well as Discord regarding the proposal.

2. HyperVue will present the proposal and discuss the details in the next governance community call and conduct our AMA during the community call.

3. We will create an ElementDAO Discord channel for the foundation to receive points feedback to continue to iterate on the program further.

4. Implement the proposal on Snapshot.

5. If Snapshot passes, the foundation will move forward with the steps required to deploy the points program and release further details on actions necessary to begin accruing Hyperdrive Points.