[Aave DAO] LTIPP Grant Extension Request

Description

Abstract

Aave DAO request an extension for its LTIPP Grant, in order to be able to distribute the remaining ARB.

This extension will run from September 2nd 2024 until 2nd November 2024, ensuring Aave DAO has enough time to distribute the allocated ARB without negatively impacting users.

Motivation

Aave DAO was granted a total of 750K ARB, as part of the LTIPP Grant.

Around 375K ARB have been distributed through GHO liquidity Pools, and the remaining were to be distributed through LM on Aave Protocol. These emission programs are in place to be implemented, but need additional time to distribute ARB at reasonable reward rates.

Due to some internal delay in launching GHO Safety Module and GHO Bridge, rewards for LM on Aave Protocol started later than expected, causing a delay in time and not being able to spend the amount allocated for ARB as planned.

Rationale

The currently implemented program has seen amazing success with over 5 million GHO bridged to Arbitrum that represents net new TVL for the ecosystem. Aave DAO plans to continue our incentive matching program with Merit once ARB incentives are fully utilized.

However, due to the deplayed deployment in launching GHO Safety Module and GHO Bridge, rewards for LM on Aave Protocol started later than expected, causing a delay in time and not being able to spend that amount ARB as planned.

As a result, Aave DAO has not utilized the total amount of 375K ARB from the proposal earmarked for GHO deposit incentives and would like to seek an extension to avoid undue miscommunication and missed rewards for Arbitrum users. The distributed ARB will still retain a 3 month schedule from (the delayed) GHO deployment, in line with the initial program goals to do short term incentive programs.

Key Terms

• Grant an extension on deadline to allocate remaining ARB from LTIPP Grant for Aave DAO to allocate.

Specifications

The extension will utilize the remaining ARB tokens from our original proposal for LM on Aave Protocol.

Steps to Implement

1. None, it has already been implemented, it needs more time to reach full ARB distribution amounts.

Timeline

• Start Date: September 2nd 2024
• End Date: November 2nd 2024

Overall Cost

The extension utilizes the remaining ARB tokens from the originally approved 750K ARB grant. Over the 8 week period, this amount will be fully distributed as per our original LTIP grant.

No additional funds are being requested beyond the original grant allocation.