Interest Protocol

Summary

Consult the community on whether to pause IPT rewards.

Background

Interest Protocol is currently in week 45 of the approved rewards schedule. There are ~717k IPT rewards outstanding for this quarter.

4th quarter

Type	Total IPT	IPT per week
Borrow	592,591	45,583
Lend	740,732	56,979

Week	Starting block	Ending block
40	16,899,470	16,949,453
41	16,949,454	16,999,437
42	16,999,438	17,049,421
43	17,044,625	17,099,405
44	17,099,406	17,149,389
45	17,149,390	17,199,373
46	17,199,374	17,249,357
47	17,249,358	17,299,341
48	17,299,342	17,349,325
49	17,349,326	17,399,309
50	17,399,310	17,449,293
51	17,449,294	17,499,277
52	17,499,278	17,549,261

Motivation

Rewards are not inducing the hoped borrowing or lending activity. A 4-week pause has limited downside if the current protocol users are unlikely to withdraw from IP. Additionally, the pause would save approximately 410k IPT and give the community time to deliberate on an updated program.

Specification

Pause the IPT rewards distribution program for four weeks to develop a new strategy for IPT rewards. If the proposal passes, no rewards will be allocated for weeks 46-49. Upon Week 50, the current program will resume, or if a new program has been approved by governance, it will take effect.