Next Steps for Permissionless Incentives

We’re almost ready to launch the new incentive contract! It complements the old “Twab Rewards” contract by allowing anyone to incentives all vaults for a Prize Pool. It’s called the Prize Pool Twab Rewards contract.

  • Just like the twab rewards, anyone can create a “promotion” to give away X tokens over Y epochs of time.
  • The tokens will be distributed to all users deposited into vaults that contribute to the prize pool, and their portion of each epoch’s rewards will be their portion of the vault TVL, scaled by the vault’s portion of contributions to the prize pool.

In this way, all vaults that contribute to a Prize Pool will be eligible for rewards. This embraces the permissionless nature of PoolTogether.

Our new Morpho vaults will now be eligible for rewards!

Additionally, since rewards are based on prize contribution, the incentives will automatically optimize for the best yield.

Status of Work

The front-end integration work for Cabana is nearly complete; the new incentives will appear just like the old incentives and can be claimed in the same way.

The audit begins this week and lasts two days, so we should be able to finalize the contracts by Friday Feb 21, if not early the following week.

Pilot Program

We should rollout the new contract gradually to limit the users exposure to any possible bugs.

The initial rollout will be on Arbitrum. The TVL exposure there is limited, but there are a variety of vaults so we’ll be able to see how the rewards behave.

If everyone goes smoothly, we can proceed with migrating the promotions on the other chains.

Timeline

The current POOL promotion across all chains runs until May 1st. We will migrate that promotion to the new contract. This means the remaining ~2 months will be distributed through the new incentive contract.

The remaining chains will be rolled out incrementally.

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Awesome, rly excited about this and it’s a good way to grow PPC (Prize Pool Contributions). Right now all incentives are distributed based on a manual decision and the TVL of the vaults, although high TVL does not mean high Prize Pool contributions. Looking forward to see that changed and switching to an automatic process.
Arbitrum is a good start to see how things turn out!

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