Yield+ Core Contributors: EOS Nation, 0rigin, DefiBox, Greymass, Pizza DeFi, EOS Asia, and Joe Louis.
Yield+ is the most anticipated Blue Paper to be funded through the EOS Network Foundation (ENF). It is currently going through its final stages of internationalization before being published in full for the EOS community on Thursday, May 26.
In anticipation of this monumental occasion for proposing a liquidity incentive program which will generate yield opportunities on EOS to increase TVL, here is a sneak peak of what to expect:
What is Yield+?
Yield+ is an EOSIO community initiative designed to increase opportunities for dApp developers to be rewarded and EOS users to earn yield on the EOS mainnet. The Yield+ working group has designed and proposed a Liquidity Rewards Program for EOS. This is an on-chain program that directly measures and rewards increased economic activity on EOS.
Decentralized Finance on EOS
Decentralized Finance (DeFi) collectively refers to open and permissionless financial activities conducted on-chain via smart contracts. DeFi is the largest and arguably most important use case for blockchain technology, and it should be a core competency of any layer one chain.
The Yield+ program is designed to bring more DeFi activity to EOS. It proposes a program that directly incentivizes this activity by offering rewards to dApps based on how much financial activity they bring on-chain, measured as Total Value Locked (TVL). Empirical data from other chains reveals how similar programs have been widely successful at increasing TVL.
EOS Liquidity Rewards Program
The EOS Liquidity Rewards Program proposed by the Yield+ working group is a customized evolution of similar, successful initiatives on other chains.
Developers will be able to apply to be a part of the program, and their applications will be reviewed by the Yield+ committee to determine eligibility. Approved applications will then move to the next phase, where their on-chain financial activity will be measured by an oracle for authenticity. Applications that achieve specific metrics described in the program will be eligible to claim daily EOS rewards according to their TVL tier.
Overall, this program is designed to provide a financial incentive for dApps to move large amounts of value onto the EOS mainnet and increase decentralized financial activity on-chain. The program will be rolled out in stages, offering further rewards and support for a wider range of assets as time goes on.
Funding and Governance
The Yield+ Blue Paper provides the community with funding options and treasury management recommendations. The program’s architecture is designed to take into account the continuously evolving regulatory landscape and outline a path toward genuinely decentralized function of the treasury. The details of this path will be decided by the EOS community once the blue paper is published for review.
Finally, the working group has outlined the key deliverables for this program. These include an application portal, on-chain incentive program contracts, oracles to monitor each dApp’s “True” TVL, and recurrent data analysis for assessing and reporting outcomes to the EOS community.
Yield+ Blue Paper to be Published on May 26.
The EOS Network is a 3rd generation blockchain platform powered by the EOS VM, a low-latency, highly performant, and extensible WebAssembly engine for deterministic execution of near feeless transactions; purpose-built for enabling optimal web3 user and developer experiences. EOS is the flagship blockchain and financial center of the EOSIO protocol, serving as the driving force behind multi-chain collaboration and public goods funding for tools and infrastructure through the EOS Network Foundation (ENF).
EOS Network Foundation
The EOS Network Foundation (ENF) is a not-for-profit organization that coordinates financial and non-financial support to encourage the growth and development of the EOS Network. The ENF is the hub of the EOS Network, harnessing the power of decentralization as a force for positive global change to chart a coordinated future for EOS.