Tremendous Violation of STIP Rules by Dolomite and Umami

In regards to the Dolomite and Umami initiatives for STIP distributions, one cannot turn a blind eye to the blatant disregard for STIP regulations, a transgression seemingly endorsed by delegates without a hint of scrutiny. To shed light on the matter for those not privy to the intricacies at play, both projects shamelessly exploit the STIP for personal gain, camouflaging their maneuvers under the dubious guise of “oARB.” In a nutshell, these ventures permit the exercise of options for acquiring ARB at a discounted rate, with Dolomite boasting a max 25% discount and Umami slightly better envelope at max 40%. However, the distribution strategy reeks of opportunism as they merely dispense a fraction (25% and 40% for Dolomite and Umami, respectively) and siphon off the lion’s share – a whopping 75% and 60% (at minimum), respectively.

Allow me to elucidate the mechanics of this unscrupulous practice: Users are coerced into purchasing incentives at a reduced rate, funneling ETH or other blue-chip assets directly into their treasuries for personal enrichment. Take Dolomite, for instance, hailed as the trailblazer in this gross violation of ethical standards and STIP decorum. They permit the utilization of oARB at a paltry 5% discount after a week. Here’s the kicker: You cough up 95% of the ARB value in ETH directly to their treasury, and in return, they magnanimously bestow a 5% bonus in $ARB. In essence, a mere 5% of the STIP sees the light of day, while a staggering 95% is clandestinely pocketed for personal gains.

This isn’t a clandestine affair; it’s a disclosed exploitation, and the collective apathy towards it is confounding. It’s a preposterous and egregious act that warrants immediate intervention. Dolomite and Umami should be promptly blacklisted from all future incentive programs, as there’s no conceivable justification for such a deliberate and methodical affront to ethical standards.

Exhibit A: @Matt_StableLab directly addresses this, but when given a diversion, quickly backtracks.


Dolomite’s response falls woefully short and sidesteps the core issue of benefiting from ETH payments extracted from users seeking free incentives contributed by the DAO. This level of negligence on the part of the DAO, Dolomite, and by extension, Umami, is indefensible. There’s no logical rationale for harboring these bad actors within our community, and the malicious intent behind their actions demands an immediate severance of the funding stream by all STIP multisig members.


tldr: These protocols take all the extra cash from practicing oARB (option ARB) to STIP ARB by users. Users have to pay extra costs to convert back ARB from oARB since there is no liquidity to sell directly oARB.
I think it’s some taking advantage of the program that STIP should not allow, as the initial goal is to incentivize users directly without introducing further costs to them besides internal protocol fees as designed.

The author puts his reponse through chatgpt telling it to make him sound smart, and the next guy runs that response through chatgpt to summarize it.

The duality of man


Your blatant disregard for the transgressions is outstanding. You must benefit from this. It has been said that an ongoing investigation is being undertaken by @tnorm and the data provider for the short term incentives program. I will be closely watching this to ensure there is no suspicious behavior going on as this requires 0 investigation; the affairs are codified in the smart contracts.

I would like more eyes here. This use is completely out of line, why is nobody talking about this? This practice should be disallowing them from further payments. Are those in charge of disbersment aware of this? @Matt_StableLab

And Dolamite is retcon’ing it–essentially admitting they’ve been scamming to DAO–by saying you can claim the arb without paying… if you vest for almost a year?

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I don’t see a violation, personally. Dolomite clearly states their STIP intentions during the proposal. It should not come as a surprise. Can someone explain where they violated because the delegates and community both saw and voted for the proposals?


This topic was brought to the attention of the multisig. After conversations with the teams from Umami and Dolomite, both protocols agreed to adjust their incentive mechanisms to allow users to freely claim ARB rewards 1:1 with oARB if users stake for the maximum duration of 40 weeks (2.5% discount for each week). Since users choose their staking period at the time of stake both of these protocols will be able to calculate rewards before the STIP program deadline. Dolomite and Umami have provided updates regarding these changes in their biweekly updates. Given these changes, the multisig concluded that the streams would not be stopped for either protocol.