Summary
TLDR: Aave launches “Merit” reward program for loyal users, rewarding actions beneficial to the DAO and penalizing engagement with non-aligned products. Program has led to increased ETH movement to Aave. Merit integrates boosters and diluters to fine-tune rewards. Clash with Morpho highlights broader trend of airdrops in crypto sector. Airdrops have varied outcomes on community involvement and transaction trends.
Key Points
1. Aave launched the “Merit” reward program aimed at its most loyal users to outmaneuver rivals.
2. Merit rewards actions beneficial to the Decentralized Autonomous Organization (DAO) and focuses on genuine contributions rather than generic incentives.
3. Merit operates additively and integrates boosters and diluters to align rewards with Aave’s objectives, enhancing rewards for supportive actions and reducing rewards for non-supportive behaviors.