ARB DAO STIP REPORTING
Overview
As we mark the four-week milestone of Trader Joe’s incentivization plan, we have observed some KPIs flat over the 14d comparison period. This trend follows the initial surge of ecosystem activity experienced at the outset of November. KPIs measured over a 30-day period distinctly highlights the impact and success of the STIP for Trader Joe.
ARB Received Last Disbursement: 647,145
ARB Utilized as Incentives in the Last Two Weeks: 257,500
Contracts incentivized over the last 2 weeks:
Contract address label Form 2 3 completed for all addresses: YES
ARB left over: 1,000,000
Plan for leftover ARB:
- Maker Rewards and Auto-Pool Yield Farms
- Full program viewed in high level here: https://x.com/TraderJoe_xyz/status/1720101440855945700?s=20 1
Summary of incentives:
The below plan covers Phase 1 (4 weeks) which runs up to the 1st of December.
- MM Rewards: Native Tokens 270k $ARB
- MM Rewards: Multi-Chain Tokens 90k $ARB
- MM Rewards: New-To-Arbitrum Tokens 30k $ARB
- Auto-Pool Yield Farms 120k $ARB
Full Phase Overview: https://x.com/TraderJoe_xyz/status/1720529281774653615?s=20 2
Full Program Overview: https://x.com/TraderJoe_xyz/status/1720101440855945700?s=20 1
Recent Epoch Overview: https://x.com/TraderJoe_xyz/status/1725572325280481395?s=20
Additional Info / Disclosures to Multisig: N/A
STATS
Average 14D TVL: $35.9m (-0.9%) (+33.7% 30d)
Average 14D daily volumes: $18.4m (-32.4%) (+153.6% 30d)
Average 14D unique user addresses: 2.5k (-10.6%) (+32.9% 30d)
14D Avg Daily Transaction fees: $25k (-37.1%) (+221.5% 30d)
Link to our full reporting dashboard:
STIP KPI Dashboard | Trader Joe | Flipside 7
Plan For the Next Two Weeks
Amount of ARB to be distributed: 186.5k ARB
Contract address label Form 2 3 completed for all addresses: YES
Mechanism for distribution incentives:
Maker Incentive Program that measures Liquidity Providers total fees accrued over the defined Epoch duration of 14 days and ranks them according to fees accrued. The top 30 in each respective Liquidity Pool will share the rewards based on a power function (power=0.7). Rewards are retroactively distributed in the following days after the defined Epoch and can be claimed directly on the UI via a smart contract. Rewards vest over 7 days.
Auto-Pool Yield Farms distribute the planned incentives in a linear fashion and can be collected at any time by all participants in an Auto-Pool Yield Farm. Rewards are shared proportionately to all users in the Auto-Pool Yield Farm.
Summary of incentives plan:
The below ARB being utilised will be distributed over the dates 2nd of December to 15h of December to finish Phase 2 of the program.
• MM Rewards: Native Tokens 86.5k $ARB
• MM Rewards: Multi-Chain Tokens 12.5k $ARB
• MM Rewards: New-To-Arbitrum Tokens 12.5k $ARB
• Auto-Pool Yield Farms 72.5k $ARB
Summary of changes to the original plan:
- Change #1 - Adjustment to ARB Allocations
Despite the successes of Phase 1 in our incentive plan, we have implemented across-the-board reductions in all planned markets for Phase 2. This adjustment is in response to the potential extension of the STIP deadline beyond January. Originally, Phase 2’s Market Maker (MM) Rewards were set at 360k; this has now been revised down to 198k. This reduction is a strategic move to ensure the sustainability and continuity of the program over an extended period that aligns fully with driving greater value back into the Arbitrum Ecosystem
- Change #2 - Removal of Level Finance Market
Level Finance was initially slated for inclusion in Phase 2. However, after a thorough review of the current market activity on Arbitrum, a decision has been made to withdraw its ARB allocation. This decision aligns with our commitment to generating optimal value for Arbitrum, as expected by the DAO in relation to the grant’s utilization.
- Change #3 - New Auto-Pool
Auto-Pools are the novel and highly efficient automated liquidity solution built by Trader Joe. They are adept at maintaining capital utilization rates of up to 25x. As proven in Phase 1, even with a modest allocation of 120k ARB over 28 days, Auto-Pools on Arbitrum have been instrumental in sustaining a significant portion of trading activity across three key pools for the Trader Joe Dex as well as holding TVL of $6m. This effectiveness underscores the considerable value and sustainable usage of incentives that new Auto-Pool solutions bring to the Arbitrum ecosystem. Therefore the new JOE-ETH Auto-Pool that has launched will have an allocation of 25k ARB rewards for Phase 2.
For direct queries please reach out to https://t.me/blueclarity 2 delegation lead for the Trader Joe Governance Council