This is a proposal to allocate 2,062,500 GLMR to extend Moonwell’s liquidity incentives over the next nine months. This grant will allow Moonwell to distribute 187,500 GLMR every four weeks, ensuring continued incentive support from April 14, 2025 through January 19, 2026.

This proposal is based on Moonwell’s demonstrated success in the recent Gauntlet grant impact evaluation, which showed that Moonwell:

Exceeded expectations, ranking as the top-performing grant recipient
Significantly improved capital efficiency (+3,813%) and trading volume (+452%)
Continues to serve as Moonbeam’s leading lending protocol, driving ecosystem liquidity

By extending incentives for another nine months, this grant will support Moonwell’s continued growth and activity on Moonbeam and sustain its role as a key pillar of the DEFI ecosystem of the protocol.

Why Moonwell?

In the recent Gauntlet impact evaluation, the results of past grant recipients and assessed their effectiveness in strengthening the Moonbeam DeFi ecosystem were reviewed. Based on these findings, Moonwell emerged as the strongest candidate for continued ecosystem support.

Moonwell outperformed expectations in multiple areas, outpacing the overall Web3 DEFI market.
While TVL decreased due to external factors (WBTC delisting and outflows to Base), the grant significantly improved capital efficiency and trading activity, making its remaining TVL much more productive.
Unlike Stellaswap, which has received strong external funding from DOT incentives, Moonwell’s continued growth depends on sustained ecosystem incentives.

Grant Structure & Distribution

Total Grant Amount: 2,062,500 GLMR
Incentive Duration: April 14, 2025 – January 19, 2026
Distribution Schedule: 187,500 GLMR every 4 weeks

The incentives will be distributed directly through Moonwell’s existing liquidity incentive program so there is no gap in rewards for lenders and borrowers.

Expected Impact

The aim of the grant is to:

Sustain engagement in the lending market, maintaining healthy liquidity levels on Moonwell
Continue supporting capital efficiency improvements, ensuring that liquidity is actively utilized
Reinforce Moonwell’s role as the top lending protocol on Moonbeam, providing a stable foundation for DeFi activity

This proposal aligns with the data-driven insights from our grant evaluation process, ensuring that ecosystem incentives are directed toward protocols that have demonstrated clear results.