1. Overview:
Following up from [RFC] Renew Lazy Vault SUMR Rewards from Nov 11th 2025 - #3 by chrisb - this SIP represents the renewing of the vault rewards, while reducing emissions by 25%, applied using a fixed target rate across all vaults.
NOTE: Although the RFC used a 12% example, given recent market downtown and reduction in TVL because of it, the numbers have been updated to retain a 25% reduction, which now resets all vaults to 16% APY.
2. Motivation:
To maintain incentives on the Vaults while the protocol continues to grow.
3. Specification:
The following rewards will be added to the vaults;
As previously, all rewards will be distributed through MERKL, starting on 11th November (when the current rewards end) and last for 90 days, taking us through to the 9th February 2026. All rewards will again be distributed on Base, regardless of the vault network.
The existing staking contracts (which are no longer used) remain as ‘forwarder’ contracts for the purpose of the MERKL rewards, so users who have continued to stake will still benefit from the rewards.
4. Risk Assessment:
No new additional risks identified.
5. Voting:
Voting YES will trigger the MERKL reward creation and transfer a total 22,478,338 SUMR tokens to the Reward Contracts.
