TIP-122: Additional LP Incentives Tapering

id	Title	Status	Author	Description	Discussions to	Created
TIP-122	Additional LP Incentives Tapering	Vote Pending	padzank (@padzank)	Tapering of Arrakis and Velodrome incentives / bribes	https://discord.gg/rPpPcMXSeU	2023-02-08

Simple Summary

Tapering of Arrakis and Velodrome incentives / bribes by 20%.

Abstract

This TIP proposes to taper incentives to Arrakis THALES-WETH pool and bribes to Velodrome THALES-USDC and THALES-WETH pools approx. -20% across all pools.

New reward structure to be:

• Arrakis THALES/WETH pool incentives: 3,000 OP + 30,000 THALES per week
• Velodrome THALES/USDC pool bribes: 8,000 THALES per week
• Velodrome THALES/WETH pool bribes: 8,000 THALES per week

These emissions are to run for 4 weeks until further revaluation.

Motivation

Current ratio of incentives between Arrakis Uniswap wrapper and Velodrome provides a healthy and comfortable distribution of on-chain liquidity. With recent global market activity, it is optimal timing to rebalance these emissions and make sure to not overpay for liquidity and emit too much incentives in OP and THALES tokens than needed.

Specification

This TIP entials the Thales Protocol DAO and Treasury DAO to facilitate the following emissions:

• Arrakis Thales/WETH rewards - 3,000 OP + 30,000 Thales per week
• Velodrome Thales/WETH bribes - 8,000 Thales per week + 50% veVELO NFT vote
• Velodrome Thales/USDC bribes - 8,000 Thales per week + 50% veVELO NFT vote

Bribes collected through voting in Velodrome are to be compounded into both pools weekly along with the claim of the veVelo rebase.

The incentives in this proposal are to be valid for a period of 1 month from implementation.

Implementation

n/a

Copyright

Copyright and related rights waived via CC0.

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