Are you missing The Arbitrum Short Term Incentive Program (STIP) that's happening right now?
Arbitrum is leading the way between the Ethereum L2s, as evidenced by the significant innovation and growth within its ecosystem in 2023.
Many DeFi protocols launched and acquired good levels of TVL, and the launch of $ARB resulted in further success.
In fact, it has given birth to a better organization of the ArbitrumDAO, leading to the development of grants programs and incentives for thriving protocols on the L2.
One such initiative is the Short Term Incentive Program (STIP), which enhanced the activity on the network, in addition to helping projects be discovered and utilized more. It’s a monumental rewards program that you probably didn’t even realize you were missing out on.
So in this article, we’ll have a look at what this L2 ecosystem is offering and present 12 boosted yield opportunities on Arbitrum that you might not have heard about.
Rysk Finance, a DeFi Options trading protocol, is participating in STIP and has extended its distribution of ARB rewards (~13M ARB) to March 29, 2024.
For LPs (total weekly grants pool: 6,493.40 ARB):
ARB can be earned by anyone who has a deposit in the DHV, when the weekly epoch is executed (each Friday).
Airdrops are performed every Friday after the weekly epoch ends.
Airdrops are calculated as (user shares / total shares) x total weekly grants pool.
Step-by-step strategy (LPs):
For Traders (Total weekly grants pool: 6,493.40 ARB):
Contracts traded are eligible to earn a share of the weekly grants pool at option expiry (every Friday 8AM UTC).
Step-by-step strategy (Traders):
More detailed info about eligibility for traders can be found here.
Dolomite is a lending platform which maximizes capital efficiency. It has been granted ARB (STIP), and created an oARB program.
To earn oARB rewards you have to deposit $USDC, $ETH, $WBTC, $ARB, or $LINK, which will then become available to claim weekly on the rewards page.
Note: oARB is earned no matter where your assets are on Dolomite, even if they are being used as collateral in a borrow position or a margin position.
Additional ARB-maximizing strategy:
Vest your $oARB to purchase $ARB at a discount from the market price. Just go to the “Rewards” section to vest it.
More details on oARB program here.
Wormhole, a cross-chain messaging protocol, has recently received 1.8M ARB in order to incentivize the bridging of 100M USDC to the Arbitrum Network.
To receive ARB rewards you will need to utilize Circle’s CCTP via Wormhole Connect and do one of these tasks:
Mint native USDC on Arbitrum, or bridge USDC.e to Ethereum and re-enter Arbitrum with native USDC.
All the rewards can be seen through the Rewards Dashboard.
More details here.
Radiant Capital is an omni-chain money market we have recently covered in our blog (research section).
In the article, we explored the V2 launch and Radiant’s new incentives design system.
As seen in the article, Radiant won a grant from ArbitrumDAO (STIP), and therefore received 2M ARB, which will be distributed until January 31st 2024.
Camelot, one of the most innovative DEXes on Arbitrum, received 3M ARB and it will distribute them by February 2024.
To get ARB rewards you can provide liquidity to blue chip and ARB pools, or provide liquidity to partner pools.
You can find the details on the specific pools here.
Ramses, an Arbitrum liquidity layer which takes advantage of incentives multipliers and concentrated liquidity, is offering its liquidity providers boosted rewards in ARB.
In order to earn ARB you just need to provide liquidity to incentivized pools (just look at the Arbitrum logo on “epoch rewards” to see which of them are incentivized).
More info here.
Silo, a lending protocol in which you can borrow any asset with another, has received 1M ARB and it is distributing them until February 2024.
To earn ARB just deposit liquidity into the platform.
More info here.
Stella, a leveraged strategies protocol with no cost to borrow, is in its sixth epoch of Arbitrum STIP, which amounts to 186k ARB incentives and ended on January 25 2024, 8AM UTC.
Specifically, 120k ARB was directed to bring lending APR to 12%, and the other 66k ARB to bring 20% additional rewards for profitable positions.
However, when one epoch ends another begins.
To earn ARB rewards you can open a strategy position in the Stella app, or lend assets.
Step-by-step strategy (Strategy position):
Step-by-step strategy (Lending):
Finally, for more info about the Stella-STIP program, consult this.
Mux Protocol, a perps aggregator built on Arbitrum, has received 6M ARB (STIP) and designed a rebate program which covers up to 100% trading fees for all GMX V1/V2, Gains, and MUX native positions opened through MUX. The program will be live until February 2024.
In order to earn ARB, you just need to trade.
More details on the Rebate program here.
Premia, one of the biggest DeFi options protocols on Arbitrum, has received 900K ARB (STIP), and it allocated 600K as liquidity mining incentives for Premia Vaults.
This incentivization period ended in January 2024.
However, they still have more incentive programs active.
In order to get ARB rewards you need to provide liquidity to Premia Vaults, or win trading competitions.
Step-by-step strategy (Premia Vaults):
If you are interested in Trading Competition, here is the latest and last trading competition incentivized by STIP.
More info about Incentivized Premia Vaults here.
TimeSwap, a money market built on Arbitrum, has allocated 200K (STIP), and both lenders and borrowers are incentivized.
The rewards will be live until February 2024.
To maximize ARB rewards, you can apply this strategy.
Step-by-step strategy (ARB-maximizing):
Step-by-strategy (Simple one):
Wombat, a multi-chain and cross-chain stableswap, is currently supporting an sFRAX pool by Frax Finance, which is incentivized by STIP.
To earn ARB provide liquidity to the sFRAX-FRAX-USDC LP pool.
For more info look here.
Also, Wombat is about to introduce another ARB-incentivized pool, so if you want to farm ARB on Wombat keep an eye on their twitter profile.
These are 12 active yield farming opportunities on Arbitrum with boosted incentives for Q1 of 2024. However, new Arbitrum STIPs are are always in the works, so keep on eye on our blog because there will always be more opportunities to learn and farm.
Disclaimer: This article, including insights on Arbitrum Yield Farming and other DeFi strategies, is for informational purposes only and should not be considered as financial advice, investment recommendations, or an endorsement of any particular investment or strategy. The cryptocurrency and DeFi markets are highly volatile and unpredictable. Past performance is not indicative of future results. The author makes no representations or warranties regarding the accuracy, completeness, or timeliness of the information provided. Readers should conduct their own research and consult with independent financial advisors before making any investment decisions. By using this information, you agree that the author is not liable for any losses or damages arising from your investment choices.
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