We really like the direction DRIP is heading. It clearly takes lessons from STIP and LTIP by focusing on specific goals, aiming for more sustainable growth, and improving how incentives are managed. From our perspective, this has the potential to be a more effective and scalable way to grow the Arbitrum ecosystem. That said, there are still a few areas we would love to see strengthened. One big question is around DAO involvement, since the current setup gives the committee full control over planning and execution. More clarity on how seasonal goals are chosen, how partners are selected, and how success is measured would go a long way. The 80 million ARB budget is quite large, so it would help to break down how much goes toward direct incentives versus operational costs like marketing and distribution partners.
We would also like to see a clear rubric or selection criteria for eligible projects, similar to what Optimism uses, to help guide applicants and make decisions more transparent.
Regarding accountability, how will we know if a individual project is underperforming? Relying too heavily on subjective evaluation could lead to inconsistent outcomes and make it harder for the community to assess impact. We think one potential solution worth exploring is tying incentives directly to predefined milestones and performance targets. This model would require projects to clearly articulate their goals, timelines, and expected outputs up front, and only receive funding incrementally as they meet those benchmarks. Not only would this create a more objective framework for measuring progress, but it could also help de-risk funding decisions and ensure that resources are being allocated to initiatives that are actively delivering value. Adopting a milestone-based approach could strengthen accountability, reduce waste, and make it easier to course-correct when things aren’t working as expected.
Long-term sustainability is another concern. Past programs showed that once incentives ended, usage often dropped off. We think adding mechanisms like vesting and stronger sybil resistance can help drive more lasting engagement.
On the marketing side, requiring co-marketing makes sense, but smaller teams might need some support or guidance to make the most of it. We also think having a unified UI that displays all participating projects is a great move. It would be even better if the UI includes a simple onboarding experience to help users quickly understand what each project does, how to participate, and how to earn rewards. Making it easier for users to get involved can really boost the visibility and impact of the program. Overall, we are supportive of DRIP and excited to see it roll out, and with more clarity around transparency, costs, accountability, and user experience, we believe it can set a strong precedent for future incentive programs.