Abstract and Motivation
Following the Lido DAO’s decision to permit Curated Operators to utilize Distributed Validator Technology (DVT), an exception to the Incentivized Mainnet Program (IMP) is required to distribute incentives for these new participants appropriately.
IMP rewards for all Lido-related DVT participants, including Simple DVT (SDVT), Curated, and the Community Staking Module (CSM) operators, will be handled by the same dedicated Merkle Distributor contract established in DIP-22. This proposal aims to approve the inclusion of Curated Operators within the existing Lido IMP incentive framework and to update the data source for reward calculations. The necessary technical adjustments for proper distribution are largely already in place.
Proposal Particulars
- Lido Exception
- Mechanics and Effectiveness
- Reward Distribution and Claiming
Lido Exception
Mechanics and Effectiveness
Based on the above abstract and motivation, the following exception shall be made to integrate Curated Operators into the IMP:
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Distribution Contract: The existing Distribution Contract, as defined in DIP-22 and DIP-30, utilized for SDVT and CSM-allocated IMP rewards, shall be used to store all Lido-related IMP rewards (SDVT, CSM, and the Curated Operators).
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Adjusted Calculation and Data Source: The Incentivized Mainnet Administrator (hereinafter: “Administrator”) will facilitate the modification and configuration of the regular IMP calculation script to include rewards accrued by Curated Operators. This will primarily involve confirming and updating the Dune Query link used in the IM script to reflect the new data source that encompasses validators of Curated Operators. The configuration and adjustments to the scripts and calculations shall be made public and reported together with the regular IMP reporting by the Administrator. Outside of this data source update, no other adjustments are needed by the ssv.network DAO, as Lido will handle the incentive split on its own.
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Lido DAO contributors, coordinating with contributors from the Mellow Protocol, as the responsible party for rewards allocation, will continue to provide public reporting as agreed in DIP-30 with the following modifications:
- On a monthly basis, publish a follow-up post with the distribution data, which can then be used as input to the reward distribution facilitated by the Administrator. Contributors will do their utmost to provide data before the 17th of the following month.
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Based on the monthly distribution data provided by Lido contributors, the Administrator will use this input as-is to calculate the rewards using the adjusted IMP script for Lido exceptions, compute a corresponding merkle tree, and set the merkle root for the Distribution Contract accordingly. The ssv.network DAO and the Administrator will assume the correctness of the data provided by Lido contributors and will not make any modifications to the input data.
This exception aims to be effective immediately after the passing of this vote, as Curated Operators using SSV are targeted to be live by the end of July/early August.
Reward Distribution
CSM, SDVT, and now Curated Operator rewards will be claimable monthly in the same manner as defined in the regular IMP and its previous revisions. This is proposed under the assumption that Lido contributors are publishing the necessary information to calculate the rewards in time, according to the Mechanics section. If, for any reason, the calculation is delayed or unforeseen challenges arise, the Administrator should announce the delay during regular reporting and update the reward calculation on the next round.
