The first 90 day cycle ends on 9th December 2021 on Meter Mainnet.
There were a few learnings that were incorporated from the first 90 day cycle;
- The liquidity provided in a pool by the community were not necessarily proportional to the rewards allocated to the liquidity pairs
- The rewards allocation needs to be tweaked based on how the liquidity was provided and transaction volume on pairs
- The 90 day duration was too long to realign the incentives based on liquidity and transaction volume
- Community needs to be more up-to-date on pool incentives that could change at the end of incentive period so that they can reallocate funds in time and still benefit from rewards multiplier
With the next cycles, we have now change the incentive period to 30 days to enable us to be more agile in aligning incentives to the right pools
In the first 90 day cycles, the WETH.eth-VOLT pool was one of the worst hit pools where users experienced high impermanent loss. The impermanent loss was not recoverable through Volt rewards.
Other Volt pools suffered from impermanent loss as well. However, they were already in plan to be continued in next cycle due to higher liquidity and transaction volumes.
Due to these circumstances, we would like to propose to continue WETH.eth-VOLT pool for the 2nd cycle of 30 days period between 9 Dec 2021 to 8 Jan 2022.
The allocation proposed is 5000 Volt per day for the 2nd cycle (30 days) from the airdrop allocation of 5M volt