BlockBeats News, January 27, Pendle released a brand new LP incentive model. The Algorithmic Incentive Model (AIM) will officially launch on January 29, 00:00 UTC, after the final vePENDLE voting period, whereby the pool will automatically receive emissions based on its quantifiable real contribution to Pendle and its users. The highlights are as follows:The new LP incentive model is expected to reduce the PENDLE token emissions by approximately 30% while significantly increasing incentive efficiency;Future emissions will be automatically allocated based on LPs' real market contributions to the protocol and users, with weights determined by TVL and fee generation;LPs will receive higher TVL incentives to guide initial liquidity provision; as the pool matures, the incentive focus will gradually shift to fee generation;The protocol can amplify rewards through external incentives and provide co-incentives by Pendle, achieving a maximum reward of $1.40 for every $1 invested;With the removal of the original ve-boost mechanism, LPs' overall APR is expected to increase, especially noticeable in high-volume pools.
