#10 - ETHFI DAO Proposal: Season 5

Protocol & Proposals
1

Proposal Summary

Following the success of Season 4, this proposal recommends the allocation of 10 million ETHFI tokens for Season 5 (S5), designed to drive strategic growth, accelerate momentum and participation, and expand the ether.fi ecosystem across multiple dimensions of engagement.

Season 4 highlights include:

  • TVL growth from 2.25M ETH to 2.54M (13% increase)
  • 15 chains supported for weETH (Added Corn, Fuel, Zircuit, and others)
  • The rise of eBTC, now a US$700M asset (#1 Babylon LST/LRT w/ Lombard)
  • Revenue distribution to sETHFI holders
  • Liquid growth from 188k ETH to 365k (95% increase)
  • Liquid partner vault launches (Berachain, Elixir)
  • weETH collateral listing on Bitget

Rationale

Building upon the successful strategies and knowledge of previous seasons, Season 5 aims to further strengthen ether.fi’s market position by implementing targeted promotional campaigns, expanding partner collaborations, and providing tier 1 rewards across our core assets and emerging protocols/chains.

Initiative Details

Objectives

  1. Accelerate growth of ether.fi flagship assets (eETH, eBTC, eUSD)
  2. Drive deposits and engagement across liquid vaults
  3. Execute high-impact partnerships with category leaders across DeFi and CeFi
  4. Grow staked ETHFI through expanded utility and revenue share

Token Allocation

A total of 10 million ETHFI tokens will be distributed during Season 5, allocated as follows:

  • 7 million ETHFI for promotional campaigns and core asset development
  • 3 million ETHFI for liquid vault deposit incentives

Timeline

  • Start Date: Feb 1, 2025
  • End Date: May 31, 2025
  • Distribution: Post-Season 5 completion

Specification

  1. Promotional Campaigns (channels, staking, earn programs, etc)

    • Up to 7M ETHFI focused on ether.fi core assets

      • eETH
      • eBTC
      • eUSD

    • These would be paired with further co-Incentivization from partners. Specific partners identified for S5 include:

      • Berachain
      • Movement
      • Initia
      • Unichain
      • Swell

      More to follow throughout the season

  2. Liquid vault incentives

    • 3M ETHFI focused on vault deposits
      • Rewards across all key liquid vaults
      • New vault launches on high-growth chains
      • Bonus rewards for existing loyal depositors

  3. Return of StakeRank 2.0

    • Enhanced King Protocol rewards :crown:
      • Performance-based tiering system
      • Strategic Swell integration. This includes the addition of $SWELL to the reward pool
      • AVS airdrops & rewards

  4. ETHFI staker rewards

    • Exclusive AVS airdrops and other reward opportunities for stakers
    • Expanded staking capabilities
    • Continued growth of protocol revenue distribution through fee switch

Mechanics

Reward categories

  • ETHFI Token Rewards: Core rewards for all incentivized actions during S5.
  • Partner Token Rewards: In collaboration with select DeFi partners, additional token rewards and loyalty point multipliers may be introduced to enhance value for participants.
  • Enhanced Loyalty Multiplier: Boosts and multipliers for ether.fi loyalty rewards may apply.

Tracking and transparency

  • All distributed rewards and allocations will be tracked and reported to the DAO.

Reward distribution

  • All rewards, including campaigns and unused allocations for S5 stakers will be paid out at the end of the current season.

Conclusion:

This proposal represents a strategic approach to community growth, protocol expansion, and value creation for ETHFI token holders. We invite the community to review and participate in the voting process.

Voting:

  • Voting Duration: 4 days
  • Voting Platform: Snapshot
  • Voting Options:
    • For: Approve the Season 5 proposal and 10M ETHFI allocation
    • Against: Do not approve the proposal
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