SDGP-79: One-Month SDT Incentive Program on CRV/cvxCRV, WETH/CVX and frxETH/CVX OnlyBoost vaults

Governance Proposals (SDGP)
1

Author: Stake DAO Association
Category: A — Stake DAO Governance Proposal (SDGP)
Data as of: 5 October 2026 (all figures below are snapshots and will move)

Summary

This proposal allocates 100,000 SDT, with an optional reserve of up to 50,000 SDT (hard cap: 150,000 SDT), from the Rewards Allocation Pool (SDGP-40) to a 4-week incentive program for depositors in three Stake DAO OnlyBoost vaults: CRV/cvxCRV, WETH/CVX and frxETH/CVX. Incentives are distributed through Votemarket. The objective is to attract additional deposits into these OnlyBoost vaults, which currently hold a small share of the corresponding Curve gauges.

Motivation

These three gauges together receive approximately 8.7% of Curve’s CRV emissions. As of the data date, the OnlyBoost vaults on all three gauges showed a higher net yield than the equivalent Convex positions (app.stakedao.org/yield), yet Stake DAO holds only a small share of deposits.

Gauge Curve weight Stake DAO deposits Additional capacity before overflow to Convex
CRV/cvxCRV 5.25% $1.64M +$1.25M
WETH/CVX 2.56% $0.26M +$1.27M
frxETH/CVX 0.90% $0.03M +$0.47M
Total 8.71% $1.93M +$2.99M

Capacity is an estimate based on Stake DAO’s current veCRV boost position and changes with gauge weights, boost and deposits.

OnlyBoost can absorb about $3.0M of additional deposits on these gauges before routing any overflow to Convex. If this capacity were filled and retained, it would generate an estimated $111k/year in protocol fees, including about $37k/year to the treasury. This estimate is illustrative, not a forecast, and assumes ~22.6% average gross CRV yield (~18.8% net to depositors) and the current fee schedule (16.525% total fees, of which 5.5% to the treasury).

The base program costs about $10.3k at an SDT price of $0.103 as of the data date (up to about $15.4k if the reserve is fully used). On the full-fill-and-retain assumption, the base program is recovered in about 3.3 months of treasury fees (about 5.0 months if the reserve is fully used), or about 1 month of total protocol fees. If only half the capacity is filled and half of that is retained, recovery takes about 13 months. Results depend on deposit inflows and on retention after incentives stop, neither of which is guaranteed.

The Rewards Allocation Pool currently holds 588,940 SDT (address: 0xA3ECF0cc8E88136134203aaafB21F7bD2dA6359a) and has not been used since November 2025. A further ~726,000 SDT is accrued but not yet harvested; it is not relied on for this program.

Specification

  1. Budget: 100,000 SDT for one month, up to 150,000 SDT if needed (50,000 SDT reserve), funded from the Rewards Allocation Pool created by SDGP-40 and drawn from its accumulated unspent balance. Total spending under this proposal may not exceed 150,000 SDT in any circumstances. The budget is set in SDT; its USD value will vary.

  2. Distribution: Votemarket incentives paid solely to depositors in the Stake DAO OnlyBoost vaults for the three gauges, over 4 weeks split into two 2-week periods. Depositors in the same Curve gauges through other venues (e.g. Convex or direct Curve deposits) are not eligible. Distribution within each vault is pro rata to time-weighted deposits per Votemarket’s standard mechanics. Claim window: rewards can be claimed for 6 months after each period ends, per Votemarket’s standard claim window.

  3. Base allocation:

Gauge Weeks 1-2 Weeks 3-4 Total
CRV/cvxCRV 25,000 SDT 17,000 SDT 42,000 SDT
WETH/CVX 25,000 SDT 17,000 SDT 42,000 SDT
frxETH/CVX 10,000 SDT 6,000 SDT 16,000 SDT
Total 60,000 SDT 40,000 SDT 100,000 SDT

  1. Flexibility: the Association may, before the start of Period 2: (a) reduce the Period 2 allocation for any gauge whose OnlyBoost vault has reached its overflow capacity or shows no meaningful net inflow in Period 1; (b) reallocate Period 2 amounts between the three gauges; and (c) deploy all or part of the 50,000 SDT reserve on any of the three gauges where net inflows during Period 1 justify it. Any adjustment will be published on this forum thread, with the reason and the revised amounts, at least 24 hours before the affected period starts. The reserve may only be used within the program window (ending November 19, 2026) and may not be used to extend the program; any extension requires a new SDGP. Total spending cannot exceed 150,000 SDT.

  2. Exception to SDGP-40: SDGP-40 provides for a monthly allocation of approximately 65,700 SDT to a single pool selected by vote. For this program only, voters approve: (i) that this program allocates to three pools in the same month, instead of a single pool; and (ii) a one-month spend of up to 150,000 SDT drawn from the Pool’s accumulated balance, above the regular monthly amount. This is a one-time exception; SDGP-40 otherwise remains unchanged and in force.

  3. Unused SDT: unused SDT, if any, and any incentives unclaimed when the Votemarket claim window closes, will be returned to the Rewards Allocation Pool within 14 days after that window closes. Return transactions will be posted on this thread.

  4. Related-party disclosure: the Association does not hold positions in these vaults. If core contributors deposit in the three vaults during the program, it shall be disclosed on this thread.

Timeline

Milestone Date
Forum debate opens October 8, 2026
Vote opens October 11, 2026
Vote closes October 18, 2026
Period 1 (weeks 1-2) October 22 – November 5, 2026
Period 2 (weeks 3-4) November 5 – November 19, 2026
End-of-program report By December 3, 2026
Retention review (4 weeks post-program) December 17, 2026

Dates are indicative and may be adjusted, in particular to align with Votemarket periods. Any change will be posted on this thread.

Success metrics

Stake DAO deposits on the three gauges at the end of the program and 4 weeks after it ends, compared with the $3.0M target. The report will also cover: net new deposits per vault at the end of Period 1; retention (deposits remaining on December 17 as a share of the end-of-program peak); SDT spent per $1 of net new deposits retained; the share of incentives paid to deposits that existed before the program; and incremental protocol and treasury fees attributable to the new deposits. Results will be shared on the forum. This program does not commit Stake DAO to any follow-up incentive spend.

Vote

  • For (Yes): Approve the incentive program of 100,000 SDT, up to 150,000 SDT, on CRV/cvxCRV, WETH/CVX and frxETH/CVX as described, including the one-time exception to SDGP-40, and authorize the Association to execute it
  • Against (No): Reject the proposal
  • Abstain: Take no position

Governance parameters

Parameter Value
Forum debate period 3 days minimum
Voting period 7 days
Debate and vote Sequential (debate first, then vote)
Quorum 15% of total vlSDT supply (For, Against and Abstain count)
Approval threshold Simple majority (>50% of votes cast, excl. abstentions)
Anticipated execution Permitted before the vote closes if a super-quorum of 50% of total vlSDT supply votes For, per SDGP-66

References

Legal Annex

Nature of this document

This document is a non-binding governance coordination notice published by the Stake DAO Association (a Swiss not-for-profit association) for the benefit of participants in the Stake DAO governance process. It does not create contractual rights or obligations between any person and the Stake DAO Association, between any participants, or with any third party. Where this document refers to actions to be taken by smart contracts, those actions are performed autonomously by code deployed on a public blockchain and are not undertaken by any legal person on behalf of any other legal person.

Regulatory & Legal Notice

This document is a governance coordination notice relating to the operation of a decentralised protocol. It is provided for informational purposes only and does not constitute an offer, solicitation, recommendation, investment advice, or any regulated financial service in any jurisdiction.

The Stake DAO protocol operates through non-custodial smart contracts. The Stake DAO Association does not custody or take title to user funds. Nothing herein is legal, regulatory, accounting, financial, or tax advice. Participation is voluntary and at each participant’s own risk.

Restricted persons. Nothing in this document is directed at, or intended to be acted upon by, any person who is (a) a U.S. Person as defined in Regulation S under the U.S. Securities Act of 1933, (b) ordinarily resident in any jurisdiction in which participation would be unlawful, or (c) the subject of sanctions administered by the United Nations, the European Union, SECO, the United Kingdom, or OFAC (each a “Restricted Person”). «No incentive will be paid to any person who is a Restricted Person, and any amount otherwise attributable to a Restricted Person lapses and returns to the Rewards Allocation Pool.»

Forward-looking statements. Figures in this document on deposits, yields, overflow capacity, protocol and treasury fees, payback periods and SDT prices are estimates as of the data date stated above, based on the assumptions set out in this proposal. Statements regarding expected deposits and inflows, anticipated revenue, and similar matters are forward-looking and reflect current expectations only. Past or current yields are not indicative of future yields; incentive yields decrease as deposits increase, and the value of SDT incentives varies with the SDT price. All such figures and statements are subject to smart-contract, market, counterparty, and regulatory risks and are not guarantees or commitments; actual outcomes may differ materially, and no Released Party (as defined in the Provisions below) undertakes to update them.

Risk Acknowledgement

Participants expressly acknowledge and accept: (a) Smart-contract risk — audited code is not warranted to be free from defects; (b) Market risk — token values, «yields and incentive amounts» may vary materially over time; (c) Counterparty/integration risk — «third-party protocols (including Curve, Convex and Frax)» operate independently of Stake DAO and may modify or discontinue their integrations; (d) Regulatory risk — applicable regulatory frameworks may evolve; (e) Tax risk — participants are solely responsible for their own tax obligations.

Provisions

The following provisions apply to the fullest extent permitted by applicable law, and to the extent any liability or relationship is nonetheless asserted to arise out of or in connection with this proposal.

Limitation of Liability. To the fullest extent permitted by applicable law, and subject to the mandatory provisions of Swiss law, the aggregate liability of the Released Parties — the Stake DAO Association and each of its members, directors, officers, employees, agents, and contributors, and any person acting on its or their behalf (each a “Released Party”) — (collectively) to any claimant for all claims arising out of or in connection with this proposal shall not exceed the greater of (i) the total protocol fees actually paid by that claimant to a Released Party in the twelve (12) months preceding the event giving rise to the claim and (ii) USD 100. Nothing in this section limits or excludes liability for death or personal injury caused by negligence, for fraud or fraudulent misrepresentation, for wilful misconduct or gross negligence, or for any other liability that cannot lawfully be limited or excluded under Swiss law.

Force Majeure. No Released Party shall be liable for any failure or delay resulting from causes beyond its reasonable control, including network failure, smart-contract exploits, regulatory orders, or acts of God.

Governing Law and Dispute Resolution. This proposal is governed by the laws of Switzerland. Any dispute that is nonetheless asserted to arise out of or in connection with this proposal shall be finally resolved by arbitration administered by the Swiss Arbitration Centre under the Swiss Rules of International Arbitration. The seat of arbitration shall be Zurich, with a sole arbitrator, in English.

Severability. If any provision is held invalid, illegal, or unenforceable, it shall be severed, and the remaining provisions shall continue in full force.

Amendment. This proposal may be amended only by a subsequent proposal adopted in accordance with the Stake DAO governance framework.

Notices. Official communications will be published through (i) gov.stakedao.org, (ii) @StakeDAOHQ on X/Twitter, or (iii) stakedao.org.

This proposal follows the Stake DAO Proposal Framework.

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