Shard Campaign Update: March 11


As USDe supply approaches $900m, we wanted to provide the community with the latest update to the Shard Campaign.

As a reminder, in last week’s update we outlined a reduction in shards effective today, Monday 11th March.

Those reductions only effect:

  • Curve LP positions reduction of shard multiplier from 20x to 15x.

  • Reduced shard multiplier for holding USDe outside of an eligible pool from 5x to 2x.

  • No other pools are impacted.

These reductions equate to an approximate 1bn per day decrease in shards issued, or ~12% less shards per day.

With all shard pools now almost full, the new shard integrations coming this week are:

1: Layer 2’s and Cross Chain

Users can acquire USDe on the following Layer 2’s to earn shards 7x shards per day on their USDe held, or 1x for sUSDe held:

  • Injective integration is now live, users can use the USDe-USDT vault to either acquire USDe, or LP to earn shards. LP positions earn shards per $ worth of LP.

  • Manta & Mantle integrations are coming this week and users will be able to earn shards in the same fashion and ratio as above, by swapping into USDe on the Layer 2 itself.

  • Users on Manta will have the option to lock USDe on Manta with a 7 day cooldown for unlocking, and users earn 10x shards per day for locking USDe.

Please note individual Layer 2’s will have specific lock durations and implementation details which will be specific to each deployment.

If a Layer 2 has introduced a lock mechanism the shards earned will be 10x per day v 7x for non-locked USDe which is bridged.

We will clearly outline these once details are finalized with each.

2: Money Markets and Leverage Protocols

Users can use USDe as a collateral asset in the below protocols for 7x shards once live later this week, or sUSDe as a collateral asset for 3x shards:

  • Morpho

  • Gearbox

  • Ajna

We have submitted a temperature check to Aave governance in order to enable USDe and sUSDe as collateral, which we hope to progress by next week for Aave users who will be eligible for the same rewards outlined above. Voting on the temperature check proposal starts tomorrow.

Going Forward

As we outlined in our original shard campaign post, the shard campaign will run for 3 months, or until $1bn USDe supply is reached, and no further Epochs would be added following either of these conditions being met.

With just over $100m left of supply to fill before hitting the $1bn mark, we remain committed to the above and in all events will bring the shard campaign to an end with the final Epoch that begins next week.

Further details on eligible actions will be provided in next week’s update.

We made an absolute priority to not run a drawn-out, long duration program and a 6 week campaign represents one of the shortest pretoken campaigns in the industry so far.

These are of course permissionless markets and USDe supply may slightly overrun the $1bn target as users can acquire USDe and sUSDe in AMMs, however no new Epochs will be added to incentivize this behavior.

Regardless of whether USDe hits $1bn supply or not, the final date for the entire shard campaign will be April 1st. No shards will be earned after that date.

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