Balancer DAO Bi-Weekly Update July 1st 2024

Recap of the Previous Two Weeks

ARB Received Last Disbursement: Week 0: 100,000

ARB Utilized as Incentives in the Last Two Weeks: 50,000

Contracts incentivized over the last 2 weeks:

Pool Symbol Gauge Address
ETHx/wstETH 0x8f57378CaD866a46eA702B7ACAEBF21dd93B4804
rsETH/wETH 0x59907f88C360D576Aa38dba84F26578367F96b6C
cbETH/rETH/wstETH 0x5a0e92a55800BB5bFd5ec6C7340BfdE7f0947c3E
ECLP-weETH-wstETH 0xdB66fFFf713B1FA758E348e69E2f2e24595111cF
ECLP-AUSDC-AUSDT 0x2b52a321Fc2ab77e9fC8488D792BB3CaEA966c0b
rETH/wETH BPT 0x8ba2D53F34159C5C5e7add60B56C7dE3BBc1DA68
sFRAX/4POOL 0x050fBe33699E56B577c3D6f090eCE9870A0966bd
ezETH/wstETH 0x7C4A6B0c16cA99e65822Cc531403cE2f8A20A912
ankrETH/wstETH-BPT 0xfC745035F31BCbaEb2D1a89aA9171495c671F6cE
wstETH/sfrxETH 0x06eaf7bAabEac962301eE21296e711B3052F2c0d
ECLP-WOETH-WETH 0x40e86216712cB9871B9C698EA3AFB22f88c00E6e
wstETH-WETH 0x260cbb867359a1084eC97de4157d06ca74e89415
ECLP-wstETH-WETH 0x96d7C70c80518Ee189CB6ba672FbD22E4fDD9c19
instETH/wstETH 0xb072496eEf1F88a2Bd1BA93F880c7ed685264EB1
inETH/wstETH 0x2dEafe52b0bCb9801d3aaDc0D75c7879cB2E5825

Contract address label Form completed for all addresses: Yes

ARB left over: 550,000 for total grant

Plan for leftover ARB: As the leftover ARB is claimed we will be streaming the ARB on our liquidity pool gauges in order to incentivize strong LST/LRT and yield bearing stable coin liquidity on Arbitrum.

Summary of incentives: Balancer’s ARB incentives plan is based upon the direction of BAL to the gauges we already have on Arbitrum, which is then amplifying the most profitable pools for LPs in terms of yield and fees accrued. The core pool mechanisms of Balancer and the STIP Addendum boost settings will foster a healthy and sustainable way for the most beneficial asset classes for Arbitrum to flourish on Balancer. This will emphasize capital efficiency of ARB incentives for both the Arbitrum ecosystem and Balancer DAO. See full details on the incentives structure in our Addendum post.

Additional Info / Disclosures to Multisig: Balancer DAO is using the same 3/5 KYC Multisig as utilized in the original STIP program.

STATS 6/17/24 - 7/1/24

Average daily TVL: $67,782,051

Average daily transactions: 2,046

Average daily volumes: $9,040,314

Number of unique user addresses: 14,508

Transaction fees: $5,484

Link to Dashboard showing metrics: Balancer Dune Dashboard

Plan For the Next Two Weeks

Amount of ARB to be distributed: 100,000

Contracts that will be incentivized: [Insert all contract addresses]

Contract address label Form completed for all addresses: Yes

Mechanism for distribution incentives: Balancer DAO will distribute rewards based upon the following boost factors combined with the proportion of BAL incentives streamed per pool on Arbitrum. The dynamic boost formula will be returned to the one originally proposed in STIP: max(3, Protocol Fees Earned /USD value of BAL emitted + 1) .


Our system is slightly adjusted from the original system developed for STIP . The dynamics and parameters of the original STIP are described here .

Summary of incentives plan: Balancer is leaning into the LRT/LST narrative as well as emphasizing the power of Gyroscope E-CLPs which are a unique AMM pool design only Balancer offers, perfect for correlated liquidity without requiring traditional CL range management. Several new pools which have arrived on Balancer excited about the tech and STIP are multiple GHO pools, new to Arbitrum, as well as LSTs such as woETH, and osETH. Along with many other usual suspects like Kelp DAO, Etherfi, Renzo, and many more. As far as yield bearing stable coin liquidity several narratives will come to fruition over the next several weeks but for the time being the most exciting are the sFRAX pool, and Gyroscopes rehype pools which give users the ability to earn yield of Aave while facilitating trades.

Summary of changes to the original plan: The primary change to the incentives plan is the boost mechanism which we are providing to the most promising pools, as described above. This comes from Balancer’s experience regarding yield bearing narratives and being able to hone in on what pool’s will benefit our LPs and there Arbitrum ecosystem participants the most. Things such as routing optimizations, native yield, and lighting a fire under the BAL, AURA, and ARB flywheel to keep onboaridng new liquidity into the ecosystem.