Governance Incentives

20,000,000 SWAP tokens are set aside annually as fixed governance incentives to encourage governance participation. These incentives are also distributed monthly.

• Monthly Governance Incentives: Approximately 1,666,667 SWAP

  • Calculation: 20,000,000 SWAP / 12 months ≈ 1,666,667 SWAP per month.

The incentives are distributed on a pro-rata basis according to each holder's allocated voting power during the epoch.

Example of Governance Incentives Distribution

• Total Governance Incentives for Epoch: Approximately 1,666,667 SWAP.

• Participants:

  • Alice's Allocated Voting Power: 4,500

  • Bob's Allocated Voting Power: 3,000

• Total Allocated Voting Power: 7,500

Distribution:

• Alice:

  • Holds 4,500 / 7,500 = 60% of the total allocated voting power.

  • Alice's Incentive Share: 1,666,667 SWAP * 60% ≈ 1,000,000 SWAP

• Bob:

  • Holds 3,000 / 7,500 = 40% of the total allocated voting power.

  • Bob's Incentive Share: 1,666,667 SWAP * 40% ≈ 666,667 SWAP

This example demonstrates how allocated voting power directly influences the share of governance incentives received by each participant.