Incentives
Frequently Asked Questions (FAQ) for Gamma's incentive programs
Last updated
Frequently Asked Questions (FAQ) for Gamma's incentive programs
Last updated
Incentive programs are programs that provide the user with a reward (usually a token) for providing liquidity to a vault.
Incentive programs are popular with our partners. They often seek to provide incentives for liquidity providers to provide liquidity to their protocols. Through Gamma's vaults, users can provide liquidity on various exchanges and earn extra incentives.
The rewards depend on the incentive program itself. Some incentive programs provide their native protocol token, while others provide more universal rewards like ETH or stablecoins.
An internal incentive program uses Gamma's user interface to collect rewards. Users can create LP positions, stake their LP tokens, redeem, and collect rewards on one site.
An external incentive program uses a third-party interface to collect rewards. Users create LP positions on Gamma's user interface but receive rewards by staking those LP tokens elsewhere or by the rewarder automatically recognizing their ownership of LP tokens.
Some incentive programs can operate internally and externally at the same time.
Gamma and Gamma's partners provide the parameters of incentive programs. Usually, an indicator on the user interface will show the remaining time.
Yes. We publish guides for participating in incentive programs in
That depends on the tax laws of your jurisdiction. We suggest speaking with a qualified professional on the matter.
Yes. If you created LP tokens by depositing them into Gamma's vaults, you'll earn fees for that liquidity position and the incentives. Once the incentive program is over, you'll continue to earn fees as long as the vault is creating them.
Yes! Our rewards contract is based on the number of LP Tokens a user has. It is agnostic to whatever range is indicated because everyone within the vault is providing in the same range.
No. Gamma does not take any incentives. Gamma only takes a percentage of the fees generated from the LP position.
Yes, but this number is not currently integrated into our fee or reward statistics.
Yes. Any deposit into any vault on Gamma can be affected by impermanent loss. Be mindful of when you choose to enter a vault and exit a vault.
This is a current limitation of Gamma's rewards contract. The LP tokens are staked in a rewards contract (Masterchef). They are still in your custody, though, as only you can withdraw them. We are building a database workaround solution to this.
This is a current limitation of Gamma's rewards contract. The LP tokens are staked in a rewards contract (Masterchef). They are still in your custody, though, as only you can withdraw them. We are building a database workaround solution to this.
