Vela Exchange Bi-Weekly STIP Backfund Updates (Feb 2nd, 2024)

DAO Programs & Initiatives Biweekly Updates (STIP)
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Vela Exchange Bi-Weekly STIP Backfund Updates (Feb 2nd, 2024)

**ARB Received Last Disbursement:**142,858 ARB

ARB Utilized as Incentives in the Last Two Weeks: 90,000 ARB

Contracts incentivized over the last 2 weeks:

Contract address label Form completed for all addresses: Yes

ARB left over: 376,432 ARB

Plan for leftover ARB: Will be allocated for the next weeks as per STIP plan;

Summary of incentives: Vela Exchange has been allocated a total of 1,000,000 ARB to distribute per our original STIP outline :

  • 150k for Multi-Chain / Fiat Onboarding
  • 400k for Social Features / Trading Leagues
  • 100k for Bot / Automated Trading Incentives
  • 350k for VLP Vault Rewards

Starting on January 5th, 2024, users will have the opportunity to earn additional ARB rewards by minting Vela Exchange’s LP token (VLP). This starts the 3-month long STIP incentives program and leads into our Grand Prix trading competition, in which users may compete for up to 100,000 in ARB prizes in Round 1.

Additional Info / Disclosures to Multisig: N/A

STATS

Average daily TVL: $7.1 M

Average daily transactions: 1,218 Trades

Average daily volumes: $13.4M

Number of unique user addresses: 6,290 UAW

Transaction fees: $1,063 daily avg , $8,010 Total

Link to Dashboard showing metrics: Vela Exchange Dune Dashboard

Plan For the Next Two Weeks

Amount of ARB to be distributed: 376,432 ARB

Plan for leftover ARB: Will be allocated for the next weeks as per STIP plan;

Contract address label Form completed for all addresses: Yes

Mechanism for distribution incentives:

  1. VLP Vault Rewards

Total bi-weekly allocation: 20k ARB

Method: Users who mint and stake their VLP tokens will receive additional ARB incentives on top of the existing APR ( currently above 60%) via our standard tokenFarm contract and claiming mechanism.

  1. Grand Prix Trading Competition

Total allocation: 80k ARB* to support Round 2 prizes

*This does not indicate the entirety of this competition’s rewards

Method: The top performers of the Grand Prix competition will be able to claim rewards every two weeks (a round), from the SwapAndAirdrop contract via our Prizes page. These rewards are determined by the accrual of credits during the duration of each round, which are earned through various methods, such as exciting credit multipliers and gamified boost events!

  1. Multichain Mint

Total allocation: 0

Method: Users who mint VLP from other chains via our Axelar/ Squid integration will be eligible to receive their bridging and transaction fees via airdrop.

  1. Bot Incentives

Total Allocation: 10k ARB

Method: Users who link their AstraBit account with Vela Exchange and that trade a minimum of $100k volume are eligible to receive 100 ARB tokens via airdrop method.

  1. VLP Locking Vault Rewards

Total bi-weekly allocation: 230k ARB

Method: Users who mint and lock their VLP tokens for 6 months will receive immediate additional ARB incentives on top of the existing APR ( currently above 60%) via our standard tokenFarm contract and claiming mechanism.

Summary of incentives plan: No changes to the current plan are being made.

Summary of changes to the original plan: No changes to the current plan are being made.

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Vela has been unfair to its users by changing retroactively the terms of its Grand Prix rewarding users getting the most credits with Arb coming from the STIP grant.
Round 2 of the Grand Prix features a Black Market which encourages certain activities with credits boost. One of them was granting 500 credits per VLP minted. It costs 5 bps to mint VLP and 15 bps to redeem VLP. They decided retroactively to remove the credits earned during this deal to scam real users that used this offer in favor of whom they want the Arb to go to, namely the influencers that keep on shilling this scam exchange. They refunded the minting fee, but not the redeem fee although real users minted VLP on the sole purpose of getting those credits.
Given Vela actions have been in total opposite to fair game, ethics and good behaviour that are core to Arbitrum values, I therefore request Arbitrum foundation to immediately stop the stream of STIP rewards to Vela, ask them for a refund of any Arb unused and exclude them from any future incentive program.

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Hi there CryptoScam,

Thank you for bringing this to the community’s attention. We appreciate your input, and would like to offer a major correction to your statement:

There was a mistake in factoring credits (points) due to a multiplier that was not meant to apply and which resulted in massive amounts of credits disrupting the leaderboard. Users quickly took advantage of this “opportunity” and it got out of hand rapidly. In response, we reverted all credit overages and refunded the entirety of user costs, even to those users who had minted and redeemed abusively. You can see that in the following two transactions:

We look forward to continuing being transparent and encourage anyone from the Arbitrum and Vela communities to participate in open dialogue :slight_smile:

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It is understandable that credits from minting and redeeming in the same black market period were cancelled but not that the whole deal was cancelled altogether. This is unfair towards the people that minted during this timeframe and kept their VLP longer especially when on top of that those people have not been refunded from their 15 bps redeem fee they gonna incur if they are still staked (ex: 0x24b99736055aec68ba9b93e3ed7975e5ec2b0cd4).
In any case rules of the game cannot be changed with retroactive effect.