PGP-1 - Seamless Protocol Platform Rewards Refresh

TL;DR Summary
Platform reward emissions are ending on February 9th. Suggesting an extension of the current reward rates, specifically with the parameters found below.

Proposal for platforms rewards are:

  • Continue rewards: YES
  • Schedule: 90 days (~3 months) - starting from February 9th at 8PM UTC. Community re-examination to occur once a month or as-needed, as reward schedules can be updated/modified by governance at any time.
  • Reward type: Utilize the newly ratified esSEAM
  • Amount: See table below

Context & Motivation
The initial platform rewards on Seamless Protocol were established at the Token Generation Event (TGE) and SEAM launch. Since then, SEAM emissions have incentivized protocol growth and governance participation. This reward schedule is set to expire on February 9th, 2024, at 8 PM UTC. Given the 7-day on-chain proposal delay, the DAO must promptly decide on potential reward replenishment, specifying the schedule, emission rate, type, and amount if continued.

Seamless Protocol has maintained a top 2 DApp positioning on Base over the past 2 months due to platform rewards [DeFi Llama here]. Therefore, the Seamless Protocol community should continue extending these rewards emissions, albeit starting to tamper market expectations through the introduction of esSEAM and slowly reducing emission rates in order to create a healthy and sustainable growth trajectory. Complete cessation of reward emissions at the moment would significantly impact the protocol’s current usage and TVL, as well as reduce the growth of governance participants. As such, it seems advisable to continue rewards while devising a plan to decrease emissions over time or optimize for long-term community alignment. The initial step is to use esSEAM for this upcoming rewards top-up.

Given the time sensitivity, a fast-track vote is recommended, with in-depth analysis and discussions slated for the coming month(s). Reward schedules can be modified at any time through on-chain governance voting, acting as a default placeholder until further community analysis and discussions occur.

Due to the urgent nature of the proposal, we recommend subjecting it to an exceptional ‘fast-track’ procedure. In this case, the Snapshot vote will be skipped. Instead, the proposal will be presented for an on-chain vote 24 hours after its publication on Discourse or with at least 10 DAO members commenting on the proposal on Discourse, with a qualified majority supporting it.

Under this proposal, esSEAM will be used for emission rewards to achieve long-term community alignment while supporting growth in governance participation. esSEAM, a wrapped version of SEAM, retains governance abilities with a 1-year unlocking period for full liquidity. This ensures ongoing rewards for liquidity contributors and borrowers, while fostering extended alignment.

Additionally, it is recommended to initiate a “Community Reward Review” period during the last week of each month. This open discussion period, to be hosted in Discourse, would allow the community to suggest modifications or extensions to the reward schedule. As such, the first review discussion period would be in late February to modify the reward emission schedule. Subsequent reviews would follow at the end of each month, with a discussion in late April for Reward Extensions unless addressed in a prior Community Reward Review (given the 3 month proposed reward period would end in May).

Lastly, the current proposal underscores the necessity for the DAO to establish a responsive mechanism for addressing urgent issues. Consequently, the DAO is committed to developing a clear, efficient, and transparent procedure specifically designed for handling emergency situations, referred to as the 'fast-track procedure’. This should be moved to another Discourse discussion soon after this proposal for community feedback and refinement for this process.

Technical specifications will be presented as soon as possible.


I support this extension of rewards as well as the transition to esSEAM which will help align reward recipients with the long term health of Seamless.

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I second that - I believe extending the rewards is prudent given the current circumstance, and also agree with the fast track nature of this given the tight time window of reward emissions ending.

I do think a monthly cadence to community open comments on rewards emissions and further analysis/discussion is warranted, so also agree on the timing of discussion periods that are open on a monthly basis (assuming sometimes there will be no comments therefore no change).

Separately, seems like a good time to introduce esSEAM after the passing of the snapshot proposal last week and esSEAM pilot community grant program - this should help with long term alignment of current users to the platform.

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I believe that in order to keep sustainability of the protocol the DAO shall approve this proposal. I support it. The next refresh programme could be discussed in more details.

I agree and support the proposal for giving rewards in esSEAM.

Strongly approve renewing rewards on the Seamless platform to incentivize supplying and borrowing activities. Though rewards in the past have been in SEAM, these new rewards in the form of esSEAM can help alleviate sell pressure and also keep users around the Seamless ecosystem for longer periods of time.

I am in strong support of this proposal. It utilizes esSEAM to create mutual alignment between users and token governors.

Given the short time window before the existing rewards emissions end, I support a fast-track voting period as well. The goal should be to minimize disruption, so it is ideal to put this in place before the end of the existing period.

I support how this is a 3 month approval, but still allows for monthly reevaluation as necessary. That allows modifications if relevant information is gleaned from the initial launch.

Yes, as a community project in the Base ecosystem its essential that the platform rewards on Seamless are refreshed. We approve this proposal

I support this rewards refresh. The liquidity mining program has been extremely popular with the community and it is difficult to quantify the amount of awareness and growth the program has helped to create. As the largest lending platform on Base a robust rewards program may help Seamless to continue it’s growth and offer the deepest pools for lending and borrowing which should allow for many projects on Base to prefer the base native Seamless platform when they want to provide solid utility for their projects. In terms of stables, having deep pools is very important for the entire Base L2 network.

esSEAM is important for the long term alignment of different Seamless users. Moving to esSEAM rewards is a good idea after the high level of community interest both via snapshot and onchain in the esSEAM funded pilot community grant program.

The refresh rewards amounts seem well researched and should provide for a thoughtful distribution across all listed assets, with a particularly prudent approach to scale up the newly approved wstETH in line with the cbETH emission rate.

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Escrow Seam will make Seamless protocol more stable in long term. I entirely support this proposal since it will alleviate sell pressure on SEAM. Also esSEAM holders can vote which is great!

This proposal resonates with the vision of Seamless being a community-driven project.

Unfortunately, incentivized actions will always prevail over great ideas and tech in crypto. Therefore, the reward program should keep Seamless at the top of the Base ecosystem.

So yes, I agree!

I endorse both the extension of rewards and the shift to esSEAM, aiming to align reward recipients with Seamless’s long-term well-being.

I see it’s live now on tally, which means the delegation period has begun Tally | Seamless Protocol Proposal

I’m on board with this proposal because it looks like a solid plan to keep the momentum going for Seamless Protocol. Using esSEAM for rewards is a smart move, and the idea of checking in regularly to tweak things as needed seems like a great way to keep everything on track for the long haul.

100%, supported. this increases efficiency & stability sustainability here.

i endorse it!

Absolutely, I’m in full support of this proposal for extending the rewards for 3M, ensuring the protocol’s growth and stability.

Hi all, thank you for your comments and consideration of this proposal. Looping back here to note that this successfully moved to an onchain vote which reached quorum and passed. Rewards are currently live on Seamless

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