1. Summary:
The current vault rewards are coming to an end of May 10th 2026. And as with previous reward periods, I am putting forward this RFC to renew the Vault Rewards.
This proposal however, is also based on the discussions taking place here → [RFC] Offboard low usage Vaults across HyperEVM, Sonic and Arbitrum regarding offboarding low usage vaults, and this proposal does not include adding rewards for those vaults.
2. Context & Motivation:
In order to remain competitive with similar protocols, especially in this current low yield environment, we need additional rewards to supplement the base APY.
One of the key aspects of this proposal is that it prioritises only the main Vaults that have some sort of traction, ignoring the vaults which low usage including those that have been proposed to be off-boarded.
3. Proposal:
The proposal I put forward will slightly reduce the total emissions per day by around 5%, from 280,000 SUMR per day to around 268,000, or around 24.1M in total for the next 90 days.
As with previous extension proposals that have been voted for, this proposal initially set out to target around 0.64% additional yield, but with some exceptions made to meet a minimum of 6,000 SUMR per day. These include EURC and ETH on Base, and USDC HR and ETH DMV on Ethereum.
| Chain | Vault | Current Rewards End | Current SUMR APY | Current SUMR per day | Proposed SUMR @ 0.64% | 90 Days |
|---|---|---|---|---|---|---|
| Base | USDC | 8-Aug-26 | 0.85% | 18,671 | 14,058 | 1,265,228 |
| Base | EURC | 8-Aug-26 | 0.70% | 4,732 | 6,000 | 540,000 |
| Base | ETH | 8-Aug-26 | 2.41% | 12,838 | 6,000 | 540,000 |
| Ethereum | ETH | 8-Aug-26 | 0.75% | 55,024 | 46,953 | 4,225,814 |
| Ethereum | ETH (HR) | 8-Aug-26 | 0.47% | 64,200 | 87,421 | 7,867,931 |
| Ethereum | USDC | 8-Aug-26 | 0.51% | 71,419 | 89,623 | 8,066,100 |
| Ethereum | USDC (HR) | 8-Aug-26 | 2.63% | 23,591 | 6,000 | 540,000 |
| Ethereum | USDC (DAORM) | 8-Aug-26 | 6.81% | 5,000 | 6,000 | 540,000 |
| Ethereum | WETH (DAORM) | 8-Aug-26 | 0.58% | 5,000 | 6,000 | 540,000 |
| TOTALS | 260,475 | 268,056 | 24,125,073 |
The end date for this next period would be 8th Aug 2026. The rewards would start 10th May 00:00.
This proposes to use MERKL again for the distribution.
4. Open Questions:
- Does the community agree with this amounts proposed?
- Does the community agree to remove SUMR rewards for those being offboarded?
- Does anyone propose any changes to 90 day period, or the simple allocation of tokens
5. Next Steps:
- Gather community feedback
- Promote to SIP with Merkl execution as the action (Target vote May-6th)
Tagging @Recognized_Delegates
