This proposal updates the XVS emissions strategy for Q3 by maintaining emissions on BNB Chain while pausing emissions on Ethereum, Arbitrum, ZKSync, and Unichain. The goal is to review and optimize the allocation of XVS incentives to drive sustainable protocol activity growth.
Cross-Chain Emissions Review
Venus has expanded to multiple chains, accompanied by emissions to help bootstrap activity. While emissions remain a powerful tool for incentivizing usage and growth, it’s important to regularly assess their impact and adapt based on performance.
This proposal maintains the current emissions structure on BNB Chain, where the majority of protocol activity and revenue is concentrated, and where the XVS market continues to see strong supplier participation. The current emission rate of 675 XVS/month (2,025 XVS/quarter) will remain unchanged and fully allocated to suppliers.
On Ethereum, Arbitrum, ZKSync, and Unichain, XVS emissions have not yet driven the level of user engagement and lending activity expected. As a result, we propose to pause all emissions on these chains to enable a full review of the current mechanisms and explore alternative strategies that may generate higher impact.
This pause is projected to generate approximately $220,000 in savings for Q3, which can be redeployed into high-impact initiatives in the near future. A strategic reassessment will be conducted during this period to optimize incentive structures going forward, ensuring that future emissions are strategically deployed to grow TVL, increase protocol revenue and enhance the value proposition of Venus across chains.
Chain
Proposed Emissions (per quarter)
BNB Chain
Maintain 2,025 XVS ($14,730) per quarter on XVS market
hello jacob, thanks for your input and welcome to the forum.
I completely agree with the proposal, however as you said, incentives are crucial part of protocol growth, hopefully we can re-deploy the rewards soon with better strategy.
I think that completely stopping emissions is a radical step. We probably need to think about an alternative, otherwise we risk reducing user motivation across all networks except BNB Chain.
I completely agree with continuing the emissions on BNB Chain as they are right now. Regarding the other blockchains, I believe it is the right decision to pause them in order to analyze the situation and find a better way to implement a more suitable strategy.
I fully support this proposal to update our XVS emissions strategy.
Sustainable growth requires constant evaluation and strategic allocation of incentives. While cross-chain expansion remains a key pillar of Venus long-term vision, it’s critical that we deploy emissions where they are most effective.
The current data clearly shows that BNB Chain continues to drive the lion’s share of protocol activity and revenue, making it the logical focus for emissions at this time.
Pausing emissions temporarily is not a step back but a smart pause that allows us to reassess and build smarter.
The projected savings can be redirected into more impactful initiatives supporting deeper user engagement and higher protocol ROI.
Who are you @jacob1 ? And nice to see this proposal, but call it as it is, bad decisions were made and this is the correction! This proposal should have been made the first month after multichain deploiments.