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For a rollup and its users to be eligible for VIP rewards, they first need to be whitelisted. The whitelisting process comprises of 2 steps:
  1. Reaching the minimum INIT TVL threshold
  2. Whitelisting via Initia L1 governance

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Minimum INIT TVL Threshold

To be considered for whitelisting on VIP, rollups must first meet a minimum INIT TVL (Total Value Locked) threshold.
  • Rollups that somehow manage to get whitelisted without reaching the minimum INIT TVL threshold will still not be eligible for rewards until they meet this requirement.
  • Rollups that have been whitelisted and successfully reached the minimum INIT TVL threshold will forfeit any VIP rewards if their TVL subsequently falls below this threshold.

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Governance Whitelisting

Once the minimum INIT TVL threshold is reached, the rollup needs to then submit a whitelisting proposal to the Initia L1 governance. As with all governance proposals, the whitelisting proposal will be voted on by INIT and Enshrined Liquidity stakers.
  • Rollups that add little value to the ecosystem (e.g., rollups that only accumulate TVL with no productive use case) - Rollups that exist solely to allow the corresponding app to qualify for VIP rewards (e.g., rollups where the app is otherwise completely off-chain)