KIP-29: Establish $OP Incentive Program

Summary Reallocate 600,000 $OP tokens from those outlined in KIP-16 toward a tiered onboarding incentive system, and introduces $KWENTA token incentivized reward tiers.

Abstract Kwenta has received 900,000 $OP tokens, and has earmarked 600,000 $OP tokens for platform migration incentives. This proposal nullifies and replaces the original distribution structure of platform migration incentives with a new, tiered onboarding incentive for traders. This proposal suggests splitting the 600,000 $OP allocation into 2 tiers of off-chain and on-chain tasks and 2 actions that give users additional rewards for completing the 2 primary bounties.

This proposal only impacts the 600,000 OP allocated toward platform migration incentives and leaves in place the allocation for competition prizes and DAO contributors as described in KIP-16.

Motivation While targeting traders of DYDX offers a strong narrative, implementation may be difficult, Kwenta has very limited channels to communicate with the cohort being targeted, and the friction of bridging to Optimism may lead to an underwhelming response from those who are successfully made aware of the plan.

Specification For full details visit: https://kips.kwenta.io/kips/kip-29/