RFC - Programmable incentives with Metrom

I wanted to respond seperately as it is a bit of a long explanation. :slight_smile:

Sample Campaign Setup

β€’ Total UNI Rewards: 5500 UNI
β€’ 3 KPI Tiers:
β€’ Tier 1: < $500k TVL β†’ 750 UNI
β€’ Tier 2: $500k–$1M β†’ 1800 UNI
β€’ Tier 3: $1M–$1.5M β†’ 2950 UNI
β€’ Campaign Duration: 6 months

Lets assume the price of UNI is about 12 USD.

The KPI-Based APR starts modestly (3.60% at $100k TVL) and rises to 8.80% by $1.5M TVL – this encourages LP to evangelise a bit about the pool to unlock higher APR.

The Traditional APR at $100k is almost at 132% but plunges as TVL scales, often attracting short-term capital.

Note: A tiered KPI model is more complex than a flat-rate approach and may require a bit of study before it is setup monitoring and fine-tuning. We will be delighted to work with the UAC to ensure emissions are throttled appropriately and campaign tiers are optimally designed. Also, this is a huge change in the way LPs read APR, so we would want to recommend using a mix of traditional and KPI based by using the minimum payout in Metrom.

We are also aware that 4% APR wouldnt attract any LP under 500K, so we need to work on the numbers a bit as this is just an example to show how this could possibly work. :slight_smile: Happy to jump on a call and explain this further. :slight_smile: