1. Overview:
This SIP proposes enabling SUMR rewards for the new Arbitrum USDC Vault, following the execution of [SIP1.1.1] and the deprecation of the previous susdx/usdc (127) market [SIP2.39].
Rewards will be distributed for 49 days via MERKL, aligned with the old overrideCampaign(..) (5 days to cancel) and expiration schedule of all other Lazy Summer Vault emissions ([SIP3.12]) (ending 09.02.2026).
Second part of this proposal is to cancel the campaign currently still flowing onto the now deprecated Arbitrum USDC Vault.
2. Context & Motivation:
After SIP2.39 removed the Silo susdx/usdc (127) market and SIP1.1.1 deployed the replacement Arbitrum USDC vault, this new vault currently accrues no SUMR incentives.
Lazy Summer Vault rewards are a core mechanism for:
- bootstrapping adoption of newly deployed vaults,
- maintaining consistency across the vault fleet, and
- aligning user participation with protocol growth.
Every other active vault currently receives SUMR emissions as part of SIP3.12.
To maintain uniformity across the vault product suite, this new Arbitrum USDC vault should also receive SUMR incentives, while the old Arbitrum Vault should have its rewards campaign cancelled.
3. Specification:
| Parameter | Value |
|---|---|
| Vault | Arbitrum USDC Vault |
| Network | Arbitrum |
| Daily SUMR Emissions | 16,221 SUMR/day |
| Duration | 49 days |
| Total SUMR Emissions | ~794,810 SUMR |
| Start | Upon SIP execution |
| End | 09.02.2026 |
| Distribution Method | MERKL (same as other Lazy Summer Protocol vaults) |
3.1 Mechanics:
- Rewards will be distributed via the existing MERKL reward contracts, consistent with current vault allocations from SIP3.12.
- SUMR will be allocated on Base, as MERKL routing for all vaults is standardized.
- No smart contract changes are required.
- Reward amounts and duration remain adjustable via future governance votes if market conditions or risk parameters require updates.
- Cancel campaign from the old Arbitrum USDC Vault.
4. Risk Assessment:
This proposal does not introduce new risks beyond those already present for standard Lazy Summer Vault reward distributions.
Key considerations:
- Technical Risk: Minimal. MERKL is the existing distribution mechanism used across the vault suite.
- Economic Risk: SUMR emissions are modest and aligned with the standardized emissions framework approved in SIP3.12.
- Protocol Risk: No new yield sources or ARKs are introduced; only rewards on an existing vault.
5. Voting:
YES: Deploy SUMR incentives to the Arbitrum USDC Vault, and cancel the old vault rewards.
NO: Leave the new Arbitrum USDC vault without SUMR rewards.
Tagging @Recognized_Delegates for a checkup as always.
–jensei