Summary
This proposal seeks to extend platform reward emissions beyond their current end date of June 30, 2025 through Q3 2025 (July 1 - September 30). The proposal maintains our quarterly cadence while preserving monthly flexibility for adjustments. The total budget of 2.25 million SEAM will be sourced from the short governor timelock and master emissions vesting contracts.
The proposed quarterly reward allocations are:
-
Seamless Vaults on Morpho (750,000 SEAM)
- Incentivize growth of Seamless Vaults on Morpho
- Maintain competitive yields for lenders and borrowers
- Ensure enough liquidity for Leverage Tokens strategies
-
Leverage Tokens (750,000 SEAM)
- Incentivize Leverage Tokens strategies
-
Safety Module (375,000 SEAM)
- Encourage protocol security through staking incentives
- Strengthen alignment between token holders and protocol safety
-
Strategic Growth Reserve (375,000 SEAM)
- Flexible budget for emerging opportunities
Context and motivation
This proposal aligns with the broader token emissions strategy outlined in the [GP-7] Expanding Protocol Reward Categories - Increasing Token Emission Budget for Seamless! and [GP-10] In preparation for the upcoming Leverage Tokens launch. As such, this current proposal will move straight to onchain governance.
The key drivers for continuing emissions are:
- Market Timing: The current macro environment and crypto market sentiment create an opportune moment to accelerate growth and capture market share through strategic token emissions.
- Product Evolution: Our expanding product suite - including new markets, recent Leverage Tokens launch, and innovative offerings - requires competitive incentives to drive initial adoption and sustainable usage.
- Strategic Token Utilization: With approximately 44,5% of token supply reserved for rewards, front-loading emissions during this growth phase allows us to:
- Maximize market presence and TVL capture
- Establish Seamless as the premier lending platform on Base
- Сapture a significant market share of Leverage Strategies on Base
- Build toward sustainable fee generation and token value accrual
- Create a framework for gradual emissions reduction over time
The reward schedules will be implemented based on recommendations from ecosystem partners and contributors. While this represents a maximum quarterly budget, actual emissions may be lower based on market conditions and performance metrics.
Resources & References
