# PIP-26 - Review & Propose Rewards Parameters

**URL:** <https://forum.pantherprotocol.io/t/pip-26-review-propose-rewards-parameters/474>\
**Category:** Panther Improvement Proposals (PIPs)\
**Created:** [August 5, 2025, 11:36am UTC](https://forum.pantherprotocol.io/t/pip-26-review-propose-rewards-parameters/474 "2025-08-05T11:36:37Z")\
**Posts on this page:** 6\
**Page:** 2

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**Author:** ![ToXiC\_eHC](https://yyz2.discourse-cdn.com/flex036/user_avatar/forum.pantherprotocol.io/toxic_ehc/32/291_2.png) [@ToXiC\_eHC](https://forum.pantherprotocol.io/u/ToXiC_eHC)\
**Post date:** [August 27, 2025, 4:31am UTC](https://forum.pantherprotocol.io/t/pip-26-review-propose-rewards-parameters/474/22 "2025-08-27T04:31:18Z")

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That is Staking PRP’s you refer, that ratio we suggested to be 1ZKP = 10PRP

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<div class="post-metadata">

**Author:** ![ToXiC\_eHC](https://yyz2.discourse-cdn.com/flex036/user_avatar/forum.pantherprotocol.io/toxic_ehc/32/291_2.png) [@ToXiC\_eHC](https://forum.pantherprotocol.io/u/ToXiC_eHC)\
**Post date:** [August 27, 2025, 12:55pm UTC](https://forum.pantherprotocol.io/t/pip-26-review-propose-rewards-parameters/474/23 "2025-08-27T12:55:48Z")

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The final Draft:  
Panther Improvement Proposal (PIP-26): Final Rewards & Token Pool Configuration

## Proposal Overview

This proposal defines the finalized reward, subsidy, and fee parameters for Panther Protocol’s live production environment. It integrates community input from the previous discussion phase and formalizes specific values for token pools, reward mechanics, and protocol incentives.

The goal is to ensure sustainable growth, incentivize participation, and maintain a balanced protocol economy through carefully calibrated token allocations and reward distributions.

* * *

## Background

Panther Protocol incentivizes ecosystem participants (users, miners, relayers, and contributors) through a mix of $ZKP and Panther Reward Points (PRP). Previous PIPs, including PIP-9 (Advanced Staking), introduced foundational mechanisms but required refinement to align with evolving conditions.

PIP-26 establishes clear operational parameters for:

- Token pools and initial reserves

- Reward structures for onboarding, miners, and user deposits

- Protocol fees and subsidy logic

- Minimum thresholds for sustainable operations

* * *

## Proposed Parameters

### 1. Token Pools and Council Configuration

| Description | Value |
| --- | --- |
| ZKP amount (initially) reserved for donations (Subsidy Pool) | **1,000,000 $ZKP** |
| ZKP amount (initially) added to the PRP AMM liquidity | **100,000 $ZKP** |
| POL amount (initially) deposited for Paymaster with EntryPoint | **1,000 POL** |
| Base ZKP Reserves pool (zkpreserveController contract) | TBC PIP-28 |
| ZKP amount releasable into PRP AMM per block | TBC PIP-28 |

* * *

### 2. Fees

| Description | Value |
| --- | --- |
| Fee (in $ZKP) for KYC attestation | **100 $ZKP** |
| Fee (in $ZKP) for KYT attestation | **25 $ZKP** |
| Protocol Fee (%) on withdrawal | **0.30%** |
| Treasury share of protocol fees (%) | **50%** |

* * *

### 3. Rewards (in $ZKP)

| Description | Value |
| --- | --- |
| Reward to miner per UTXO mined | **0.5 $ZKP** |

* * *

### 4. Rewards Vouchers (in PRP)

| Description | Value |
| --- | --- |
| PRP rewards for onboarding (one-time per user) | **1,000 PRP** |

* * *

### 5. Recharge AMM (UI multi-call functions)

| Action | Reward (PRP) |
| --- | --- |
| Release ZKP to AMM | **50 PRP** |
| Split protocol fee (PRP AMM + Treasury) | **50 PRP** |
| Swap protocol fees | **100 PRP** |
| Claim Paymaster debts | **100 PRP** |

* * *

### 6. Subsidy (in $ZKP)

| Transaction Type | Subsidy |
| --- | --- |
| Account activation | **200 $ZKP** |
| Account renewal | 0 |
| Voucher claim | 0 |
| PRP conversion | 0 |
| Internal transfer | 0 |
| Deposit | 0 |
| Withdraw | 0 |
| Zswap | 0 |
| Gas | 0 |

* * *

### 7. Minimum Cap to Trigger Rewards

| Action | Threshold |
| --- | --- |
| (1) Protocol fee split to PRP AMM + Treasury | **1,000 $ZKP** |
| (2) Swapping protocol fees | **50 POL** |
| zkpreserveController release to AMM | **20,000 $ZKP** |
| Claiming Paymaster debt | **10 (native)** |

* * *

### 8. User Rewards – Deposited Assets

- **10% APY** on deposited assets (in $ZKP or supported assets), distributed monthly.

- Rewards are paid in **PRP** , benchmarked against $ZKP through the internal AMM.

* * *

## Funding

- Rewards will be sourced from the **450M $ZKP protocol rewards allocation**.

## Next Steps

1. **Voting:** PIP-26 will be published on Snapshot for a **3-day vote**. Voting eligibility per PIP-7.

## Additional Considerations

- Reward distribution must remain aligned with decentralization and protocol sustainability.

- POL, $ZKP, and PRP market dynamics will be monitored for potential future adjustments.

- Thresholds and subsidy amounts can be rebalanced via later PIPs based on adoption and usage data.

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<div class="post-metadata">

**Author:** ![prashant77](https://avatars.discourse-cdn.com/v4/letter/p/3bc359/32.png) [@prashant77](https://forum.pantherprotocol.io/u/prashant77)\
**Post date:** [August 27, 2025, 4:04pm UTC](https://forum.pantherprotocol.io/t/pip-26-review-propose-rewards-parameters/474/24 "2025-08-27T16:04:04Z")

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for the 8th point if rewards are paid in PRP. Is it same 10 (PRP ) to 1 (zkp) ratio?

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<div class="post-metadata">

**Author:** ![Praetorian](https://yyz2.discourse-cdn.com/flex036/user_avatar/forum.pantherprotocol.io/praetorian/32/69_2.png) [@Praetorian](https://forum.pantherprotocol.io/u/Praetorian)\
**Post date:** [August 27, 2025, 4:13pm UTC](https://forum.pantherprotocol.io/t/pip-26-review-propose-rewards-parameters/474/25 "2025-08-27T16:13:51Z")

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It will be based off a single sided AMM. The inital ratio will be 10:1  
The more users exchange PRP to ZKP, the vaule of PRP will decrease.  
The more time users wait to exchange, the vaule of PRP will increase.

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<div class="post-metadata">

**Author:** ![prashant77](https://avatars.discourse-cdn.com/v4/letter/p/3bc359/32.png) [@prashant77](https://forum.pantherprotocol.io/u/prashant77)\
**Post date:** [August 28, 2025, 10:56am UTC](https://forum.pantherprotocol.io/t/pip-26-review-propose-rewards-parameters/474/26 "2025-08-28T10:56:54Z")

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What is AMM (Automated Market Maker?)

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<div class="post-metadata">

**Author:** ![Praetorian](https://yyz2.discourse-cdn.com/flex036/user_avatar/forum.pantherprotocol.io/praetorian/32/69_2.png) [@Praetorian](https://forum.pantherprotocol.io/u/Praetorian)\
**Post date:** [August 28, 2025, 11:26am UTC](https://forum.pantherprotocol.io/t/pip-26-review-propose-rewards-parameters/474/27 "2025-08-28T11:26:39Z")

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[https://www.coinbase.com/en-pt/learn/advanced-trading/what-is-an-automated-market-maker-amm](https://www.coinbase.com/en-pt/learn/advanced-trading/what-is-an-automated-market-maker-amm)

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