Vote 16 follow-up: Treasury distribution to rebuild trust in Gro and broaden Gro DAO

This post outlines a distribution to rebuild trust in Gro and win back users, a list of impacted wallets with distribution amount, and the principles for how individual allocation has been calculated.

Background

  • Gro Protocol was impacted by the recent depegging of the UST stablecoin, the third largest stablecoin by market cap. One of four strategies was exposed to UST through Curve on Ethereum. As the leveraged product, Vault took a larger share of total protocol losses since it also took on the loss of PWRD.
  • Since then, Gro has increased DAO participation in whitelisting the yield strategies used for PWRD and Vault, together with setting a maximum Vault exposure that you can read more here.
  • We have also proposed to implement a 400bps stop-loss mechanism – all GRO holders can vote here. The vote will be live until Friday 24th June 2022.
  • In addition, we have listened to community suggestions for distributing Treasury funds to rebuild trust in Gro and win back users. Subsequently, a draft vote was shared on the community forum to invite further feedback in how it’s formulated.
  • Vote 16A and Vote 16B was live for 7 days and concluded on Tuesday 14th June. This post details the next steps in Treasury distribution voted by the DAO to rebuild trust with Vault users impacted by UST depeg.

Total distribution

Total distribution amount is based on the weighted average of outcomes in Vote 16A for stablecoins and 16B for GRO tokens respectively.

  • Vote 16A: $2,171,850 in Vault (GVT) or PWRD*
  • Vote 16B: 229,475 GRO tokens

*See the “Distribution mechanism” section for details

Distribution list

In the distribution list you will see your wallet address, GVT balance at the snapshot (in GVT tokens; for dollar amount please multiply this with $176 with 9th May price), total stablecoin distribution, and GRO token distribution. Please access the list here:

It is prepared based on the distribution mechanism in the next section. Please read on for more details on how the allocation is calculated for each wallet. We also have an FAQ here to capture any questions raised by the community.

If you find any discrepancies on the GVT balance, calculated distribution amount, or if you do not see your wallet address (but confirm that you have at least $100 in GVT at snapshot at block 14753568), please report it using this form by End of Day Wednesday 22nd June 2022 (UTC time). Note that this deadline was extended to 7am UTC on Friday 24th June 2022 and is now past; all reported inaccuracies have been processed. If you were using Vault through Argent zkSync, the list has been updated with the L1 address you’ve submitted and the second column should mark “Yes - distribution starts in June”; if you have not submitted an address, you still have until mid-August to reply to the email and we’ll process your distribution in one batch in late August.

Argent zkSync users may need to go into “Transactions” tab on the app and look up the transaction in zkscan.io to find your zkSync wallet address.

Distribution mechanism

Vote 16A: Vault/PWRD distribution

Distribution to individual wallets is based on a snapshot of the wallet’s Vault (GVT) balance at block 14753568 on Wednesday 11th May 2022, when GVT value was marked down significantly due to UST depeg. The balance includes:

  • GVT held in wallet
  • GVT staked to the single-sided liquidity pool
  • GVT in the GVT/GRO pool where the LP tokens were staked at Gro

An individual wallet’s share of the $2,171,850 distribution in Vote 16A is based on:

Screen Shot 2022-06-17 at 12.36.50 PM

where the total GVT balance was 118,135 (with applicable exclusions detailed below) at snapshot with current data. See below for a numerical example.

Minimum cut-off of distribution at $10:

  • If a wallet would receive less than $10, the wallet would be excluded from distribution (to avoid routing funds to wallets where it is uneconomical to claim due to gas).
  • The funds will be directed to other wallets so that the total distribution amount remains the same.
  • Based on the voted amount, that means wallets that had $100+ in GVT on 10th May will receive this distribution.

Distribution of <$1000 will be made upfront:

  • Wallets that would receive less than $1000 would receive all funds upfront in GVT.
  • The funds will be directly sent to your wallet.

Distribution of $1000+ will be made over 24 months:

  • Wallets receiving $1000 or above would get the funds in PWRD or USDC with linear vesting over 24 months.
  • Vesting and claims mechanics will be detailed in the next post.

Distribution to Argent zkSync users:

  • Argent will email zkSync users to ask for a mainnet (L1) wallet address (whether it’s on Argent or other wallets) to be used for the distribution. This email will be sent on Friday 17th June 2022 – please reply by Thursday 23rd June 2022. This deadline has now past. The list has been updated with the L1 address you’ve submitted and the second column should mark “Yes - distribution starts in June”; if you have not submitted an address, you still have until mid-August to reply to the email and we’ll process your distribution in one batch in late August.
  • Funds will then be sent out to the mainnet address provided through the email. For those receiving a distribution of $1000+, the funds will be released over 24 months.

Applicable exclusions:

  • Excluding distribution to any pools or operational wallets that provide services to users, such as the Gro harvest bot or pools that provide liquidity to users
  • Excluding distribution to Gro DAO Treasury despite the Treasury took a $2m+ loss due to UST depeg, in order to maximise the total protocol user benefits from this process

Numerical example

  • If you had 20 GVT (~$3,520 before UST depeg) on 11th May, your distribution would be 20/118,135*$2,171,850 = $367.69 in GVT. As your distribution is less than $1000, you would receive the full amount upfront in GVT tokens.
  • If you had 2,000 GVT (~$352,000 before UST depeg) on 11th May, your distribution would be 2,000/118,135*$2,171,850 = $36,768.95; as your distribution is over $1000, you would receive the funds over 24 months in PWRD stablecoin.

Vote 16B: GRO token distribution

Distribution of GRO tokens is made to those who are eligible to receive a distribution in Vote 16A, with a minimum of 50 GRO tokens per wallet in order to broaden DAO participation. The portion beyond the first 50 tokens would be determined by your share of GVT balance at the snapshot detailed in the Stablecoin distribution section above.

An individual wallet’s share of the 229,475 GRO distribution in Vote 16B is based on:

Screen Shot 2022-06-17 at 12.37.25 PM

where the total GVT balance was 118,135 and the number of eligible wallets is 2,016 at snapshot with current data. See below for a numerical example.

Numerical example

  • If you had 20 GVT (~$3,520 before UST depeg) on 11th May, your distribution would be 50+(229,475 - 50x2016) x 20/118,135 = 71.78 tokens.
  • If you had 2,000 GVT (~$352,000 before UST depeg) on 11th May, your distribution would be 50+(229,475 - 50x2016) x 2000/118,135 = 2,228.43 tokens.
  • All GRO token distribution would be distributed on Rewards Centre in the Gro dApp.

Distribution mechanism:

  • All tokens will be distributed in one go through the Gro Rewards Centre on Ethereum mainnet at Gro
  • This distribution abides by the standard GRO vesting mechanism where each user can choose to claim and enter a 12-month vesting arrangement, or withdraw 30% immediately and give away the remaining 70% to the Vesting Bonus Pool
  • Those who choose to vest your tokens can then choose to claim from the Vesting Bonus Pool every 4 weeks
  • Claimed GRO tokens can be used for voting whether they are in your wallet or stay in the 12-month vesting mechanism
  • As GRO Rewards Centre is only available on Ethereum mainnet, zkSync users would need to provide a mainnet wallet address in Argent’s email; once the distribution is made, you can then connect to Gro dApp with the mainnet wallet provided to access the Rewards Centre and claim your GRO tokens

Claiming GRO from Rewards Centre:

  • Once the distribution is live, users have 60 days to claim the tokens and decide whether to withdraw 30% immediately (forfeiting the rest) or vest over 12 months
  • For more information in our vesting mechanism, please refer to our docs at Vesting mechanism - gro Docs
  • For a more detailed step-by-step guide in claiming GRO rewards, please refer to our docs at How to claim rewards - gro Docs
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Vote 16 - Distribution updates

Distribution has been processed based on the mechanism and the finalised distribution list in the above post. Thanks for your patience throughout the past few weeks!

We’ve also used the last few weeks to improve Gro protocol and make it more resilient – read more about them in our blog post!

Vote 16A: GVT/PWRD distribution

  • If you’d receive <$1000 based on the distribution list (Column D), you should have received the full amount in GVT sent to your wallet on the distribution list. You can see the distribution transactions here and here.
  • If you’d receive $1000+ based on the distribution list (Column D), you would receive the funds in PWRD or USDC over 24 months. The first 1/24th of the sum has been sent to your wallet on the list in PWRD - you can see the distribution here. The remaining 23/24th of the sum will be put into a vesting contract tied to your wallet on the list. More details will be available once we’ve set up the vesting contract.
  • Total amount distribution so far in GVT and the first 1/24th of the sum in PWRD sum up to $226,397 (out of $2,171,850 that was approved by the DAO vote)
  • Note: if you’re a zkSync user and didn’t submit an L1 address via the email from Argent, you would not have been included in the distribution - but you’ll have until 16th August to submit the L1 address. We’ll then batch-process the distribution by end of August.

Vote 16B: GRO distribution

  • GRO tokens on the distribution list (Column E) have been distributed - you will need to claim them from the Rewards Centre on Gro dApp at Gro by connecting your wallet on Ethereum mainnet. You can check out the drop in the Airdrop smart contract with tranche ID = 10 (see screenshot below). You will have until 29th August to claim these tokens.

  • Once the tokens are claimed, it would follow our standard vesting mechanism where you can choose to vest them over 12 months or withdraw 30% immediately while forfeiting the remaining 70%. Please see this page in the docs for more details on GRO vesting mechanism, and you can use this page to navigate the Rewards Centre.

  • Total amount distribution so far in GRO tokens sum up to 199,449 (out of 229,475 that was approved by the DAO vote)

  • Note: if you’re a zkSync user and didn’t submit an L1 address via the email from Argent, you would not have been included in the distribution - but you’ll have until 16th August to submit the L1 address. We’ll then batch-process the distribution by end of August.

If you have any questions, please check out our FAQs regarding this distribution in this page or join our discord where one of us could help with your questions.

PWRD Vesting has now been set up. If you receive $1000+ distribution and have an L1 wallet address with us (see this spreadsheet), please use the wallet in the spreadsheet to connect to Gro Protocol’s Rewards Centre at http://app.gro.xyz/rewards – you’ll see “PWRD Rewards” tab where you can track your vesting contract and claim any time you want. You can also see the vesting smart contract at GMerkleVestor | Address 0x02c133B9fBffb8D2E8cb7B7a94C7c880b331c720 | Etherscan.

The total amount on your vesting contract should be 23x the amount you’ve received in this multisend transaction on 1st July 2022. Your PWRD distribution vests linearly starting on 1st July 2022 (block 1656654244) and ending on 31st May 2024 (block 1717138402).

You can claim at any time – unlike GRO rewards, claiming your PWRD distribution would not affect the vesting schedule. Bear in mind that each claim would cost a small amount of gas; the first claim would be more expensive than subsequent claims. For any questions, please reach out on Discord at http://discord.gg/gro

If you have a $1000+ distribution but have not submitted an L1 wallet address through Argent by 23rd June 2022, you still have until 16th August 2022 to submit it and we will batch process your distribution at the end of August.

my address 0x525A3fb64e3Cd75415a3A112Cbdf3cd650B2251c is on GVT/PWRD distribution list, however i haven’t received the token and also can’t see the tx on your two distribution transactions.

Hi Damon - We haven’t received an L1 address submission from Argent before Jun 24. Have you received an email from Argent for submitting an L1 address? If not could you email support@argent.xyz as only Argent has the information to verify wallet ownership for zksync users :pray:

yes, i have received an email from argent for submitting an l1 address. but is 0x525A3fb64e3Cd75415a3A112Cbdf3cd650B2251c not an l1 address? and in the email argent says the argent account address also could be an l1 address and i have activated it .

yes, i have received an email from argent for submitting an l1 address. but is 0x525A3fb64e3Cd75415a3A112Cbdf3cd650B2251c not an l1 address? and in the email argent says the argent account address also could be an l1 address and i have activated it .

I see - great that you’ve already activated it. It was meant to give all zkSync users a choice to either using the same address on L1 or choose another L1 address that doesn’t require gas fee to activate.

For data completeness, could I ask you to fill in the form Argent sent with the email? That would help us keep the record straight regarding who has provided an L1 address and whom we need to chase for replies :pray:

i have replied the email argent sent to me and asked them same question, do i need to do anything else as the google excel says i haven’t provided l1 address?

If you’ve already replied to Argent’s email, you don’t need to do anything else! All the L1 addresses submitted will be batch-processed by end of August, which is why you don’t see the google excel being updated just yet :slight_smile:

Final distribution has now been completed

If you held GVT on Argent zkSync wallet during UST depeg and submitted an L1 wallet address between 24th June and 16th August to Argent, you should have received stablecoin and GRO distribution in the last 2 days.

For the list of wallets, please refer to this spreadsheet (same one in the original post) - only those who have “Yes” in column B and “August” in column C would have received the distribution.

Vote 16A: Stablecoin distribution
You should have received an one-off airdrop of GVT or PWRD tokens. Note that the tokens may not show up in wallet right away until you import the tokens (see below for Metamask example).

If your distribution is <$1000, you would have received GVT; otherwise you’d have received PWRD. Please see this page on our docs for contract address to use when importing tokens: PWRD & Vault - gro Docs

Screen Shot 2022-09-01 at 10.03.38 AM

Vote 16B: GRO distribution
GRO tokens on the distribution list (Column E) have been distributed - you will need to claim them from the Rewards Centre on Gro dApp at Gro by connecting your wallet on Ethereum mainnet. You can check out the drop in the Airdrop smart contract with tranche ID = 12 (see screenshot below). You will have until 31st October to claim these tokens.

  • Once the tokens are claimed, it would follow our standard vesting mechanism where you can choose to vest them over 12 months or withdraw 30% immediately while forfeiting the remaining 70%. Please see this page in the docs for more details on GRO vesting mechanism, and you can use this page to navigate the Rewards Centre.

If you have any questions, please check out our FAQs regarding this distribution in this page or join our discord where one of us could help with your questions.