MIP 8: Meter Gas Monetization Program

Meter Grants Program
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TLDR

  1. With this proposal on gas monetization, we aim to promote two key metrics of Meter Network adoption – Transaction Volume and User base
  2. The gas monetization incentive program will reimburse a portion of all gas fees incurred on the Meter Network by the dApps smart contracts

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Background

Meter Network is built to scale and connect the financial Internet. We, at Meter Foundation, believe that while: ‘Innovations are hard. Building communities is harder.’ We have designed our incentive programs to help Developers kick off on the Network!

Meter Developer Grant Program

With over 10+ Million USD in grants available for disbursal, the focus of the program is network adoption ( Higher transaction volume, Total Value Locked, user base as well as fit ecosystem needs)

METER UP – TVL Incentive Program

The ‘Meter Up’ Program shares the burden of adoption of a dApp by incentivizing TVL on the protocol. Under the program, all TVL (time-weighted) reported through a Defillama.com integration is incentivized (MTRG Pairs with blue chip assets – 10% APR, All Other TVL – 7.5% APR).

In addition to TVL, the current proposal on gas monetization aims to support 2 other key network adoption metrics for Meter – Transaction Volume and User base!

Key Historical Statistics

With DappRadar as a source of information on ‘User + transaction. The top tractions (for games) look like below:

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Detailed data analysis can be found here. The data is for April 2023 across 25 top games. The proposal will consider 50% of the user + transaction metrics (500 UAW, 5000 txs) for determining the gas monetization thresholds.

Proposal

The gas monetization incentive program will reimburse a PORTION of all gas fees incurred on the Meter Network by the dApp smart contracts.

Keeping in mind the objectives for the incentive program (transaction volume and user base), the portion of gas incentives reimbursed forms a matrix as below,

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Important Considerations:

  1. fee reimbursements will be done monthly based on on-chain contract data
  2. The DAU and transaction count will be averaged over the previous month to distribute the rewards
  • e.g. Monthly Unique Accounts interacting with the dApp = 15,000. Thus Daily Average = 500
  1. The metrics will be summed over all the contracts deployed by the dApp
  2. All payments will be done in MTRG based on exchange rate (MTR to MTRG) on the date of distribution

Program Eligibility

  1. The dApp should be deployed on Meter Network for >1 month.
  • e.g. If the dApp is deployed on May 11, it will be eligible for the program on June 30 distribution
  1. The dev team of the dApp should fill out the google form to specify all contracts related to the dApp
  1. dApps can apply for one of the 2 programs but not both:
  • METER UP TVL Incentive Program or
  • Meter Gas Monetization Program

Payments

For all applicable dApps, Gas Monetization funds (in MTRG) will be sent to the address specified in the application during the first week of the month. All payments will be done in MTRG based on exchange rate (MTR to MTRG) on the date of distribution.

Terms & Conditions

This program is still in nascency across the blockchain ecosystem, the Meter Foundation reserves the right to halt any payment stream indefinitely for any reason, including if fraudulent user activity is suspected or if the Foundation believes it is in the best interests of the Meter ecosystem.

The gas monetization a dApp receives can be utilized at the discretion of the dApp.

Earnings Estimates

Let us look at an example to determine potential earnings:

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Note: The example assumes a certain average gas cost. Actual gas costs will determine the extent of gas monetization.

This topic is recreated. Original creation date was May, 2023. The corresponding governance proposal can be found here - Snapshot