Podcast Summary
This episode of Leviathan News delves into the Long-Term Incentive Pilot Program (L-TIP) by Arbitrum, a continuation of their successful Short-Term Incentive Program (STIP). The podcast features Frian, an Arbitrum DAO delegate, who shares insights on the L-TIP and its potential impact on the Arbitrum ecosystem.
Key Takeaways
Arbitrum’s Long-Term Incentive Pilot Program (L-TIP)
- Introduction of L-TIP: Arbitrum has launched the L-TIP, aiming to distribute tens of millions of ARB tokens quarterly to projects building on Arbitrum and attract new users to the community.
- Role of the Advisor Council: To streamline the process, an Advisor Council has been created, consisting of representatives from CastleCap, KelpDao, and Seed Latam. They will advise protocols on creating proposals and provide feedback.
- Future of L-TIP: The L-TIP is seen as a pilot program, and its success will determine if it becomes a more prolonged and permanent incentive program in the future.
Restructuring of the Incentive Program
- Lessons from STIP: The STIP had over 100 proposals, which was overwhelming for the delegates to review. The new structure aims to make it more manageable for everyone involved.
- Changes in L-TIP: The new L-TIP will have less ARB available, between 25 million to 48 million ARB. The advisory team will work on creating infrastructure and criteria for the L-TIP.
- Flexibility in L-TIP: The L-TIP aims to be more flexible in terms of grant usage, unlike the STIP rules that mandated all ARB had to be distributed within three months and could only be used for liquidity rewards or inside the protocol.
Political Aspects of the Grant System
- Politics in Crypto Governance: The podcast discusses the political aspects of the grant and support system in the Arbitrum ecosystem, particularly how knowing specific teams or having connections can affect the chances of receiving grants or support from Arbitrum.
- Importance of Business Development: The role of sales and marketing, or business development, is mentioned as a way to present the value of a protocol to delegates and gain their support.
Future of the Arbitrum Ecosystem
- Competition Between Chains: The podcast touches on the competition between different chains in terms of funding and incentives, with the hosts suggesting that the amount of funding available will continue to increase as different chains raise the bar.
- Importance of Performance: The hosts acknowledge the need for protocols to perform well and meet expectations in terms of network performance, as well as the importance of economic incentives to attract builders and users.
Sentiment Analysis
- Bullish: The overall sentiment of the podcast is bullish, with the hosts and guests expressing optimism about the potential of the L-TIP to attract new projects and users to the Arbitrum ecosystem. The introduction of the Advisor Council and the changes in the incentive program are seen as positive steps towards streamlining the process and making it more manageable for everyone involved.
- Neutral: There is a neutral sentiment expressed towards the political aspects of the grant system, with the hosts acknowledging the challenges faced by new projects in securing grants and the potential influence of personal connections. However, they also highlight the importance of business development and proactive engagement with the DAO as ways for newer protocols to gain support.
