OP Token Distribution for Pika
Pika is excited to share we are ready to distribute the 900,000 OP tokens on behalf of Optimism Governance Phase 0 Proposal: https://gov.optimism.io/t/gf-phase-0-proposal-pika-protocol/1103.
According the proposal, the general allocations are distributed as follow:
- Traders Acquisition: 150,000 OP(30% for early supporters and 70% for future traders)
- Liquidity Providers: 600,000 OP(20% for early supporters and 80% for future users)
- Grants: 150,000 OP(10% for early contributors and 90% for future rewards)
This article explains the detailed execution of the token distribution.
As shared in the proposal, the OP tokens will be rewarded as fee rebates for traders.
Airdrop for Early Traders
For the 45,000(30% of 150,000) $OP rewards for early supporters, the snapshot was taken on July 16, 2022. All the traders who have paid at least $10 USDC in trade fee before that date are qualified for the rebate. For each 1 USDC fee paid, 0.306 OP is rewarded. The reward is capped for those big traders with over 1000 USDC in fees, where all of them are rewarded 306 OPs each. The details of fees paid for each address can be found here and this is the list of addresses which are qualified.
Rewards for Future Traders
105,000(70% of 150,000) $OP will be distributed to future traders across next few months to incentivize the usage of the platform. Starting from September 1st, 50% fee rebate will be given to traders to for the 1st 100k volume every month. Example:
- Trader A traded 10k volume in September, 50% of trading fee will be rebated after the period using OP tokens(using the TWAP price of 1st day of each month).
- Trader B traded 200k volume in September, the 50% trading fee of 100k volume will be rebated after the period.
This incentivizes more traders to onboard with the platform while limiting few whale traders to take most of the rewards. The incentive program will continue until all the 105,000 OP tokens are rewarded.
Liquidity Providers Rewards
Airdrop for Early Liquidity Providers
To appreciate LPs who support Pika in the early days and especially those who ever encountered loss when traders are winning, all the Pika v2 liquidity providers who have net negative PnL(PnL = withdraw - deposit + reward)of over 20 USDC by 07/16/22 will be rewarded proportionally to their PnL, at the ratio of 0.1786 OP per USDC. All the qualified addresses and their PnLs can be found here. The remaining PnL will be rewarded in future using part of trading fees collected according to the previous plan. The total of 12,000 OP tokens will be airdropped according to the proposal.
Rewards for Future Liquidity Providers
480,000 OP tokens will be distributed across the next 6 months to incentivise the ongoing growth of the protocol, at the rate of 80,000 monthly, starting next week. All the liquidity providers who are staked in the Pika vault will be rewarded with OP tokens, in addition to the existing fee reward.
The grants of 150,000 OP will be rewarded for integrations(projects built on top of Pika), bug bounties, toolings(i.e: Dune Analytics, Zapper), content creations.
Reward for Early Builders
A number of volunteer community members have been building and creating with Pika for the past few months and 10% of total grants(15,000 OP) will be rewarded to them to appreciate their contribution. The known contributors and the proposed distributions are as follows. If there are anyone we missed, please let us know within next the 3 days and we may adjust the distribution accordingly.
Grants for Future Builders
Remaining 90% of grants will be distributed to future builders. This page was created to track the ongoing grants distribution. The areas of contribution includes integrations(projects built on top of Pika), bug bounties, toolings and content creations. This page is created to track the grants spending. If you have any ideas in mind and would like to apply for the grants, please reach out to us on discord or telegram.
Since Pika Protocol has over 16,000 users since launch, and due to the limit of the OP tokens available, we are not able to distribute tokens to all of users. Nevertheless, we spent a large amount of effort to make sure the distribution is fair and meaningful. Regardless of whether you are qualified for the reward or how much you will receive, we want to share our gratitude for the support from all the users of our platform. If you see any big discrepancy in the reward distribution, please contact us within the next 3 days. The reward will be claimable within the next 3 months and the unclaimed reward will be recycled for future rewards.
Pika is very proud to be one of the first few projects to build on Optimism and deeply appreciate the reward from Optimism to help us grow Pika to the next stage. Enjoy the Optimism summer!