- The DRIP program aims to enhance liquidity on Arbitrum’s Layer 2 network.
- $40 million in incentives will support Ethereum-based DeFi activities.
- Key protocols Aave and Morpho involved in rewarding DeFi users.
Arbitrum’s new $40 million DeFi Renaissance Incentive Program (DRIP) is enhancing liquidity with ARB incentives. Over four seasons, it targets Ethereum-based DeFi protocols like Aave and Morpho, aiming to boost Layer 2 adoption and match competitors’ TVL figures.
Arbitrum has initiated a $40 million DeFi Renaissance Incentive Program effective September 3, 2025, on its Layer 2 network to enhance liquidity and promote DeFi activities.
DeFi Renaissance Incentive Program Overview
Impact and Implications
“The $40 million DeFi Renaissance Incentive Program (DRIP) is structured in four seasons to boost ecosystem liquidity and incentivize leveraged DeFi strategies on our Layer 2 network.” – ArbitrumDAO, Governing Entity, ArbitrumThis incentive program highlights a trend of Layer 2 solutions leveraging substantial incentives to enhance their ecosystems. Historical trends suggest similar programs have delivered TVL gains and asset migrations, setting a precedent for Arbitrum’s anticipated growth.
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