Premia Bi-Weekly Update: Final w/ Reflection

Premia Bi-Weekly Update 2023-01-26


STIP Proposal
Program Start Date: 2023-11-15
Objective: To reduce friction solving the cold start problem for the Premia Blue Options Exchange.

600k to Vaults (Natural Options Sellers) - Live
200k to Trading and Market Making (Natural Options Buyers) - Live
100k to Partners looking to integrate Options Liquidity Mining - Repurposed

Other Obligations:

  • 500k Self-Funded ARB Vault Deposit - Complete
  • Premia matching 550k PREMIA to Vaults during STIP Period - Complete
  • Premia Academy/Competition Incentives - Quest 7 of 8 - Live


Previous Two Weeks

ARB Received Last Disbursement: [0] Claimed (385,712 Total Claim To be Executed)

ARB Utilized as Incentives in the Last Two Weeks: [152,409] (All Allocated)

Contracts incentivized over the last 2 weeks (No Change):

Contract address label Form 12 completed for all addresses: [Yes]

ARB left over: [0]

Plan for leftover ARB:

To follow the in depth plan including vaults, rates, dates, and status please reference our Premia STIP Tracking document which is updated regularly or now the live updated STIP Specific Section of the Dashboard

Summary of incentives:
TVL continues to grow, reaching a peak over 9mm on 2024-01-20.
Trading volume racked up significantly into the ETF approval as expected; however, it has cooled down since that major market event. Even though trading volume reduced post-ETF, fees have remained consistent on a rolling average basis for the last 60 days, and premia is now a top 50 protocol in terms of gas spend on Arbitrum!

Additional Info / Disclosures to Multisig:
Other Notable Events relevant to STIP Campaign

  • Trading Competition Continues
  • Spaces with various partners


The Dune dashboard is always being enhanced, however I have created some views specific to the STIP period that can be found at the bottom of the page.
Overall Dashboard:
Trading Competition:

Average daily TVL:
TVL Today 8.7mm in USD
TVL Average 8.92mm in USD
Beginning TVL ~2mm in USD

Average daily transactions:
745 Avg Daily Txns

Average daily volumes:
134k USD Daily Notional

Number of unique user addresses:
1893 (Since 2023-11-15)

Transaction fees:
18 eth

Link to Dashboard showing metrics: []
For those interested in tracking the requirements document (as well as the details sharing with OpenBlock Labs) please find the dashboard requirements document. A Trading competition document has also now been added to Dune

Plan For the Next Two Weeks

Amount of ARB to be distributed:
118,022 ARB to Vault LPs (rate of 59k/week)
25,000 ARB to Traders (Began 2023-12-26 rate of 12.5k/week) - (Shown on TC Dash)
We expect to distribute 143,022 ARB every two weeks for the remainder of the STIP period (2024-03-05)

Contracts that will be incentivized:
All contracts for vaults have been deployed and funded.
The Trading Competition/MM simple claiming contracts have been deployed.

Contract address label Form 12 completed for all addresses: [Yes]

Mechanism for distribution incentives:

  • Dual Mining Smart Contracts for Vaults - Complete
  • Simple Claiming Contract for Trading & Market Making Incentives - Complete

Summary of incentives plan:

  • Weekly Quests via Galaxe starting 2023-12-04 (1 per week) - Live
  • All Dual Mining rewards for Vault Deposits 2023-12-05 - Complete
  • Trading Competition begins 2023-12-08 - Live
  • Marketing Events with partner protocols ongoing

Summary of changes to the original plan:
After careful deliberation and consideration, we have chosen to utilize the 100k Allocation for Partnerships to extend our current rewards for one additional month to remain competitive with other projects during the extended STIP window. The two main reasons for justification are:
A) Unfortunately, we have spoken to many other projects; however, given the complexity of OLM, it has proven difficult to find protocols with extra resources to facilitate this time of partnership and onboarding, and from the feedback we have received, it is unlikely to happen until after the STIP period.
B) Our contracts emit at a fixed rate until exhausted; thus as we had originally planned on a full distribution date of 2024-01-31 we would have to redeploy all the contracts to change the rate, thus we decided against this option. However, we want to put those 100k Tokens to work for our users, so we will continue to fund the emissions for another month until around 2024-03-05. If the DAO deems this an inappropriate use, Premia is willing to fund it out of pocket. Regardless, 100k is not enough to cover the entirety of the extension, so Premia will have to fund a portion out of pocket.

In lockstep with this decision, the Secondary Market incentives and Trading Competition have been extended to around 2024-03-05 as well. This change can be seen on the STIP Allocation document.

Overall, we will continue to track this extension in the dashboard as % Committed is now shown over 100% from the original plan in the name of transparency.