BANK Emissions Distribution (April 30th-May 31st)


Before the Rewards Manager is launched, the Algofi DAO will approve allocations of BANK emissions on a monthly basis. This proposal concerns emissions from April 30th - May 31st.

After the voting period for this proposal passes, a new proposal for allocating emissions will be launched for voting by the community, which will concern emissions from May 31st - June 30th.

Users are encouraged to voice their opinions on future emission allocations in the Temperature Check category of the governance forum to ensure they are taken into consideration for preparing emissions proposals. Ultimately, this process will be automated on chain with the Rewards Manager.

The motivation is to promote the growth of liquidity on the Algofi lending protocol and DEX.

Emission allocations can be found below.


Emit to Lending markets, Lend and Earn contracts, Staking contracts, and the Algofi Vault in the proportions outlined below. The Algofi DAO is asked for recommendations with respect to allocation changes during the next period. The current allocation is featured below:

Contract Current Allocation New Allocation Change
USDC L&E 26.75% 26.75% 0.00%
USDT L&E 2.00% 2.00% 0.00%
ALGO Borrow 0.50% 0.50% 0.00%
USDC Borrow 0.50% 0.50% 0.00%
goBTC Borrow 0.25% 0.25% 0.00%
goETH Borrow 0.25% 0.25% 0.00%
USDT Borrow 0.25% 0.25% 0.00%
STBL2 USDC Market Supply 32.50% 32.50% 0.00%
STBL2 ALGO Staking 8.00% 8.00% 0.00%
STBL2 goBTC Staking 2.00% 2.00% 0.00%
STBL2 goETH Staking 2.00% 2.00% 0.00%
USDC ALGO Staking 7.00% 7.00% 0.00%
ALGO Vault 10.00% 10.00% 0.00%
STBL2 BANK Staking 4.00% 4.00% 0.00%
ALGO BANK Staking 4.00% 4.00% 0.00%
1 Like

I feel like I’ve seen it pop up a couple of times from smarter people than me that having Algos in a governance vault does nothing for the Algofi protocol on it’s own. I may have missed something but I don’t think I’ve seen that directly addressed with counter arguments. What actually is good for Algofi is when people engage with the protocol, through lending borrowing or liquidity. It’s easy to deposit and get that fat defi bonus while not doing anything other than opening a vault. There seems like a couple of options.

  1. Stop rewarding the vault alltogether. I have a nice stack in there and the sheer amount of Algos in the vault mean I’m only getting a couple k BANK per year. I assume this is true for most retail. Is such a small benifit worth sinking 10% of our distribution into?


  1. Stop rewarding walllets that are only parking Algos and not contributing to the rest of the protocol. It seems like it would be easy to remove non contributing wallets from the reward distribution. This might make the amount of BANK being distributed more relevant to those wallets that are benifiting the protocol.

Just my dumb thoughts…Sorry if I missed something in previous conversations.

1 Like

i like that idea! 10% could be used so much better at other places like for example LP farms to incentivize new liquidity coming which we need to enable efficient swaps

So do you think a separate temperature check for this change should be created? Or rather than a pass and fail on the above proposition maybe we could vote between multiple distribution schema. I’ve seen this mentioned before but it never makes it’s way into a vote. How can we make the vote happen?

good question. i think it could be hard to get a vote on this through after the period started, in earlier discussions people mentioned reducing those rewards during the period would be weird because people who supplied their ALGOs to the vault cant remove them. therefore we might have to prepare a vote for the next period maybe? what do you think?

another thing to consider is the rewards manager is supposed to go live in the future. will it happen before the next period starts? can we then still vote on decomissioning the vault altogether?

Yeah, I agree it’d be scummy to change the terms of the vault mid stream. We could still plan ahead and not implement anything until G8.

I’m not familiar with the future reward manager. Is there somewhere I can read up on it?

yes having everything ready could be a good idea