TL;DR
- Releasing $SILO incentive program on April 1st
- Releasing a new way for external projects to incentivize silos
- Silo’s markets receive a big chunk of LTIP grants
- Rolling out Yearn vaults for our markets
- Allocating incentives to external integrations
- Requesting funds from the DAO to cover the planned incentive programs and cover Silo v2 audit costs
- Launching on Optimism
$SILO incentive program
- Valued at $400,000
- Funded by DAO’s revenue via daily buybacks - not inflation
- Lasting for 90 days, starting Apr 1, 2024(tentative date)
- Streaming $SILO incentives to top markets
Review the distribution weights and share your feedback. This is only a draft.
Projects can incentivize Silo’s users
The Merkl team has built a solution for the Silo Protocol that allows anyone to send incentives to our markets to incentivize any action. Incentives can be denominated in any crypto assets. Users will be able to claim all incentives via Silo’s lending app.
Silo’s markets receive a big chunk of LTIP grants
Silo markets are part of several LTIPP grant proposals. We have invested significant resources to have Silo markets included in LTIPP grant proposals. For those unaware, LTIPP grants will be provided to Arbitrum teams, who have yet to receive part of the STIP program. So far, the following teams have decided to allocate part of their LTIP grant to our markets:
Teams
- Origin Protocol (wOETH)
- Contango
- CIAN
- D2 Finance
- Beefy
- Harvest
- Gravita
- Threshold
- FactorDAO
- Reserve (rToken Markets)
- Yearn
Yearn integrations with the Silo protocol
The Yearn team is deploying vaults on top of our Arbitrum markets. They plan to replicate the integration on Mainnet, too. To start with, Yearn’s USDC.e vault will deploy USDC.e into the following markets:
- wstETH-WETH-USDC.e
- wBTC-WETH-USDC.e
- ARB-WETH-USDC.e
Incentive program for external partners
For the next three months, Silo will be actively incentivizing external integrations, including but not limited to the following:
- Pendle Pools
- sETH (PT-weETH)
- sETH (wstETH)
- Yearn USDC.e vault
- Beefy Pools
- sUSDC-wstETH
- sUSDC-ARB
- sUSDC-WBTC
- sETH-wstETH
- sETH-PT-weETH
- FactorDAO
- wstETH/ETH Leverage
- PT-weETH Leverage
We will also consider:
- Yieldyak → autocompounder similar to Beefy
- Contango → automated looper
Many more pools in the pipeline…
All incentives are allocated from ongoing buybacks. We will continue to expand the program as more teams integrate with our markets.
Requesting a budget from the DAO
| Item | Amount |
|---|---|
| Buyback | Up to $400,000 |
| External incentives | 240,000 (~$80K / Month) |
| Audit expenses | $883,000.00 |
| TOTAL | $1,523,000.00 |
The budget is needed for the following initiatives:
- Buybacks to fund the $SILO incentive program: We plan to use roughly $400,000 for the program.
- External incentive program: We request roughly $80,000 / Month for the next three months to incentivize external integrations as mentioned above.
- Silo v2 audits: We need a total of $883,000 to cover the costs associated with auditing and securing Silo v2.
- Trail of Bits: Completed audit for Silo v2 core contracts and veSILO;
- Certora: Ongoing audit for Silo v2 core contracts and veSILO;
- yAudit: Ongoing audit for veSILO;
- C4: Two scheduled audits for Silo v2 contracts, including a closed audit competition conducted by top C4 auditors and an open audit competition.
We propose implementing the above initiatives and allocating appropriated funds from the DAO’s treasury Safes.
Launching on Optimism
We submitted a grant request to Optimism. The proposal is being reviewed, which might take 4-6 weeks. Meanwhile, we will prepare to launch v1 core contracts.