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@raho
Just dropped an analysis with @tnorm on the impact of @PolynomialFi's OP incentive program that ultimately led to the protocol's cumulative trading volume surpassing $3.8B 🧵
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@raho
Key takeaways: • Incentives can drive short-term spikes in usage; however, tapering and strict vesting could sustain activity further • Wash trading remains an issue in trading incentive programs • Incentives led to a 23x surge in trading volume but only doubled daily traders
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@raho
OP trading rewards on Synthetix, Kwenta, and Polynomial drove massive increases in usage metrics on the protocols.
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@raho
We saw incentives lead to a 23x surge in volume but only a 2x in daily traders, indicating a massive increase in the presence of either power users or wash trading.
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