# Grants and Proposals

Thales truly believes in the principles of DeFi: decentralization, transparency and community governance.  We want to help develop push the Web3 ecosystem and develop lasting relationships with like-minded protocols and networks.  Part of this involves participating in grants and incentive programs.  This page will contain information on current grant applications and steps to support Thales.  You can help shape the discourse directly with your input!

<figure><img src="https://288840232-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FKSZyDhrhMxBqaXew1MHD%2Fuploads%2FzpN5ebM17yaCihG9VCia%2Fimage.png?alt=media&#x26;token=451b0098-e8d6-48c6-9076-1e0145a76c0d" alt=""><figcaption><p>The origins of Community Governance</p></figcaption></figure>

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## Current Grants

### Arbitrum Foundation Short-Term Incentives Program <img src="https://288840232-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FKSZyDhrhMxBqaXew1MHD%2Fuploads%2FnnEkGOGoKkUK9KhX5dQG%2Fimage.png?alt=media&#x26;token=bface754-9747-4e4e-9a04-ed283f21e4e9" alt="" data-size="line">

Thales has applied for a **500,000 ARB** token grant from the Arbitrum Short-Term Incentives Program (STIP). Any distribution of these tokens will be used to encourage engagement with Thales on Arbitrum by providing trader's with **incentives, fee rebates, and competitions.**  We'll also **match this grant with another 200,000 THALES** for those same programs.

<figure><img src="https://288840232-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FKSZyDhrhMxBqaXew1MHD%2Fuploads%2FteMt1bT7DMy8BH1tXAdA%2Fimage.png?alt=media&#x26;token=ce193889-0ba0-4f0b-8547-5b87e4f0df84" alt=""><figcaption></figcaption></figure>

Here's a quick breakdown of our proposal for the **500,000 ARB**:

* **10,000 ARB** per week for Direct Usage Incentives (global trading volume incentives and incentives for discount buyers)
* **20,000 ARB** per week for Fee Rebates (giving protocol and event fees back to traders)
* **160,000 ARB** for Focused Event Incentives (community competitions, leaderboards and more, across Thales and Overtime Markets)

You can keep an eye on our proposal at <https://forum.arbitrum.foundation/t/thales-final-stip-round-1/16836/11>. &#x20;

If you hold ARB tokens you can **vote now** on the  Snapshot Proposal: <https://snapshot.org/#/arbitrumfoundation.eth/proposal/0xd7c38a5af10a30d35b7f63564969097019aeb59e70a48d4364739ef8594f8f6c>

<figure><img src="https://288840232-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FKSZyDhrhMxBqaXew1MHD%2Fuploads%2FiVy0M6boV6NYC0B8esBF%2Fimage.png?alt=media&#x26;token=8cb19b7d-30be-47ea-b7c3-f560eb779591" alt=""><figcaption></figcaption></figure>

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## Past Grants and Proposals

### Optimism's OP Token Distribution

When the Optimism protocol launched it's OP token, it included an OP token distribution program  as part of its [decentralized governance initiative](https://app.optimism.io/announcement).

<figure><img src="https://288840232-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FKSZyDhrhMxBqaXew1MHD%2Fuploads%2FJkggIlIfSihmZ9tg07BK%2Fimage.png?alt=media&#x26;token=595e5531-ff90-4a18-ac71-f3739842e26f" alt=""><figcaption></figcaption></figure>

Thales worked with the community to craft a series of TIPs to distribute **900,000 OP** tokens:

* [**TIP-53**](https://github.com/thales-markets/thales-improvement-proposals/blob/main/TIPs/TIP-53.md) proposed to distribute **135,000 OP** tokens via weekly emissions for THALES staking rewards.
* [**TIP-55**](https://github.com/thales-markets/thales-improvement-proposals/blob/main/TIPs/TIP-55.md) introduced OP rewards for liquidity providers, with **315,000 OP** and **900,000** THALES tokens distributed across weekly rounds.
* [**TIP-56**](https://github.com/thales-markets/thales-improvement-proposals/blob/main/TIPs/TIP-56.md) suggested the use of both OP and THALES tokens to incentivize traders to generate protocol volume by participating in [UP and DOWN markets](https://thalesmarket.io/markets) and [ranged markets](https://thalesmarket.io/ranged-markets), with **11,000 OP** and **20,000 THALES** distributed each 14 day epoch for UP markets and another **11,000 OP** and **20,000 THALES** for DOWN markets, as well as **6,000 OP** and **10,000 THALES** for ranged markets. &#x20;
  * This was adjusted for Round 7 in [**TIP-97**](https://github.com/thales-markets/thales-improvement-proposals/blob/main/TIPs/TIP-97.md) to **5,000 OP** and **7,000 THALES** for each of the following: In the money (ITM) markets, Out of the money (OTM) markets and Discounted Markets.

Of the **900,000 OP** token grant, that left **250,000 OP** for other growth-related initiatives that were developed by the community and approved by the Thales Council.

You can review Optimism's **Reward Impact Analysis** for more details on Thales' grant [here](https://gov.optimism.io/t/op-reward-impact-analysis-thales-phase-0/6865), or a shortened version in [this tweet](https://twitter.com/thalesmarket/status/1707100306742317168?s=20).

<figure><img src="https://288840232-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FKSZyDhrhMxBqaXew1MHD%2Fuploads%2Fvp9rAjRre5BQCn5tLB2Y%2FOE%20thales%20token%202.png?alt=media&#x26;token=89c9bc84-19d9-4d3c-940d-49cb08053b88" alt=""><figcaption></figcaption></figure>

**Overtime also received 300,000 OP** as part of Optimism's Governance Fund Grants Phase 1.  You can review the proposal [here](https://gov.optimism.io/t/review-gf-phase-1-voting-cycle-7-overtime-markets/3579).