ZIP - Proposal - TVL Incentive Program via rZFI for ZyFAI Smart Wallets

Title: [ZIP] TVL Incentive Program via rZFI for ZyFAI Smart Wallets Author: Gauthier / ZyFAI DAO Date: 2025-07-10

Summary This proposal seeks DAO approval to allocate 5% of the total ZFI token supply (25,000,000 ZFI) toward a performance-based incentive program that rewards users based on the total assets under management (AUM) held across ZyFAI Smart Wallets, powered by autonomous agents. The program will use a new reward mechanism called rZFI (Reward ZFI) — a claim-based, time-locked form of ZFI that will be deployed as part of this initiative. While Merkl streams will be launched on Base, eligibility will be based on users’ global AUM across all supported networks. Distribution and campaign design will be managed by a Reward Committee operated by Ondefy Ltd, with full flexibility retained by Ondefy Ltd.

Motivation ZyFAI is pioneering autonomous DeFi through smart wallets powered by agents and curators. To drive usage and capital inflows in its early phase, ZyFAI requires a robust incentive structure that encourages real engagement, long-term alignment, and protocol-wide growth. This proposal replaces short-term farming with a programmable, time-locked reward system that distributes future governance power in a sustainable, modular, and network-agnostic way.

Specifications

• Introduce rZFI, a new reward mechanism (similar to rEULER) with the following logic:

  • rZFI is non-transferable and represents a time-locked claim on ZFI
  • Upon claim:
    • 20% of ZFI unlocks immediately
    • 80% unlocks linearly over 6 months
    • Early redemption forfeits and burns the locked portion
    • Each claim starts its own unlock schedule

• Allocate 25,000,000 ZFI (5% of supply) to a Reward Committee multisig operated by Ondefy Ltd

• Merkl streams will be launched on Base, but eligibility is based on global AUM held across all ZyFAI Smart Wallets

• New networks added to ZyFAI will be automatically eligible

• Reward committee holds full discretion to adjust the reward mechanism (unlock logic, emission rate, eligibility filters, etc.)

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Costs

• Token allocation: 25,000,000 ZFI (5% of total supply), already unlocked
• Smart contract deployment: rZFI will be developed and deployed by the ZyFAI team
• Merkl campaign setup: no additional infrastructure cost
• Ongoing operations: handled by Ondefy Ltd as Reward Committee lead
• Gas fees: users cover their own claim transactions

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Implementation Plan

1. DAO approves the transfer of 25,000,000 ZFI to a Reward Committee (Ondefy Ltd)
2. ZyFAI team deploys the rZFI reward mechanism with unlock logic and Merkl integration
3. Phase 1: 2,500,000 rZFI distributed over 2 months (via Merkl on Base)
4. Eligibility is calculated across all chains based on total AUM in ZyFAI Smart Wallets
5. Phase 2: 22,500,000 rZFI streamed over the next 10 months based on program performance
6. Monthly campaign updates, metrics, and adjustments handled by ZyFAI + Reward Committee
7. No additional DAO vote required unless the scope or allocation changes

To streamline the overall process, this proposal will be published directly as a ZIP.