[PCP-26] - Protocol Rewards Refresh #5 - Rewards Continuation

TL;DR Summary

Platform reward emissions are ending on October 20th (in 11 days). Proposing an extension of the platform reward budget by drawing down on the SEAM in the short governor timelock and Guardian and claiming more SEAM from the master emissions vesting smart contract.

Proposal for platforms rewards are:

  • Continue rewards? YES
  • Schedule? To be consistent with previous requests, continuing the cadence of 60 days (~2 months) - starting 10/20/24 (ASAP given the governance process timelines). Community re-examination and discussion to occur once a month or as-needed, as reward schedules can be updated/modified by Community Guardian (as of [SIP-7] execution).
  • Reward type? Utilize primarily esSEAM (with a small SEAM budget that will default to esSEAM if not utilized)
  • Amount? Current suggestion is to continue the 500,000 SEAM budget and neither increase nor decrease rewards. This SEAM would be sourced from the Guardian (which has custodied SEAM for this specific reason) and the short governor timelock to be utilized as a two month budget across all existing/to-be-launched markets on Seamless Protocol during this time period

Context & Motivation

TVL has remained fairly constant during the last six month period as the wider DeFi/Base/altcoin ecosystem experienced volatility. Rewards refresh #4 benefited from continued Gauntlet Network community-level reward optimization analysis.

The current goal is to continue maintaining the TVL and growth of the protocol, with an enhanced focus on receiving recommendations from Gauntlet that may help further optimize these rewards. An important part of the platform is also continued updates on risk parameter adjustments, which is a parallel problem being discussed/solved via re-visiting the governance fast track approach as well as other potential third party collaborations (more to come here on this).

This proposal suggests another reward budget renewal at the previous budget of 500,000 SEAM (holding steady from the previous request). The DAO will primarily convert 480,000 SEAM to esSEAM, with the remaining 20,000 SEAM available as liquid rewards. If there is any unused SEAM from this 20k, it will also be converted to esSEAM.

As per before, rewards schedules will be based on recommendations from ecosystem partners/contributors, and this represents a maximum 2 month budget (it is possible less rewards are emitted during this time, and a “surplus” is run).

Specifications/Technicals

Under this proposal, the rewards pool for markets on Seamless Protocol will gain an additional 500,000 SEAM budget to be deployed over two months. This SEAM will be sourced from the short governor timelock (and in a corresponding move, the short governor timelock will claim some of the DAO vested SEAM back into the wallet). Per the previously executed SIPs, reward schedules continued to be set by the Guardian Multisig.

Technical specifications/payload will be presented as soon as possible if the discussion period ends with a positive support.

1 Like

I’m in full support of this - I believe this initiative will continue to strengthen the protocol’s user base.

The current reward program is coming to an end, I support an extension of the program under the same conditions.

+1 fully support rewards refresh

+1 fully support

Im in full support

Appreciate the input and support here. This has been moved to an onchain vote. Here’s the link on Tally: Tally | Seamless Protocol | [SIP-30] Protocol Rewards Refresh 5