Merkl Docs
  • πŸ₯¨Merkl Documentation Portal
  • Merkl mechanisms
    • πŸ”Technical Overview
    • πŸͺ·Incentive Mechanisms
    • πŸ•οΈCampaign Types
      • πŸ¦„Concentrated Liquidity Campaigns
      • 🏹Airdrop Campaigns
      • πŸ§‘β€πŸŒΎERC20 Campaigns and Applications
      • 🏦Custom Lending and Borrowing Campaigns
      • [NEW] 🎣 UniswapV4 Liquidity Campaigns
      • [NEW] 🌐 Encompassing Campaigns
    • πŸ’ΈDistribution Types
    • πŸͺCustomazibility Hooks
    • πŸͺΆAdditional Features
  • Distribute with Merkl
    • 😽Create a Merkl campaign
    • πŸ§‘β€πŸ”¬Deploy a campaign from a multisig or Gnosis Safe
    • πŸ—³οΈDeploy your campaign from a DAO
    • πŸ’³Fee Model
  • Earn with Merkl
    • πŸ’°Earn with Merkl
    • πŸ“Merkl User FAQ
  • Integrate Merkl
    • πŸ‘©β€πŸ’»Integrate Merkl to your App - Merkl API V4 Docs
    • πŸ‘©β€πŸ’»Merkl API V4 NPM Package
    • 3️⃣ Merkl API V3 Docs
    • πŸ§‘β€πŸŽ¨Branding and Integration
Powered by GitBook
On this page
  • πŸ”§ Customization Options
  • 1️⃣ Campaign Type
  • 2️⃣ Distribution Type
  • πŸ”„ Feature Compatibility
  • How To Track Merkl's Current Feature set
  1. Merkl mechanisms

Incentive Mechanisms

Basics about Merkl Incentive mechanisms and customizability features

PreviousTechnical OverviewNextCampaign Types

Last updated 3 months ago

Merkl is designed to be highly versatile, supporting a wide range of incentive structures across both DeFi and broader Web3 ecosystems.

πŸ”§ Customization Options

When creating a campaign on Merkl, incentive providers can configure:

1️⃣ Campaign Type

define the action that needs to be done to be eligible to rewards.

Merkl supports multiple campaign types, rewarding users for both financial activities (e.g., liquidity provision, lending) and other onchain/offchain actions.

Some of the most commonly used campaign types include

  • : Rewards liquidity providers (LPs) in Concentrated Liquidity AMMs (CLAMMs) such as Uniswap V3.

  • : Encourages activity on lending protocols like Morpho, Silo, and Radiant, or rewards specific behaviors within these protocols.

  • : Distributes tokens to a potentially millions of users based on either a JSON file or a snapshotted token balance.

  • : Rewards users for holding an ERC20 token over time. This can be used for:

    • Lending & Borrowing LP Rewards: incentivizing liquidity providers who hold receipt or debt tokens on lending protocols

    • Constant Product Liquidity Pools: distributing rewards based on LP token balances to boost liquidity in traditional AMMs like Uniswap V2

    • Holding Incentives: Rewarding users who hold a token like wBTC, ETH, USDA, EURA, etc. based on their balance over time

2️⃣ Distribution Type

  • Variable APR campaigns: Rewards are distributed proportionally based on liquidity provided relative to others.

  • Fixed APR campaigns: Rewards accrue at a fixed rate for a given amount of liquidity.

πŸ”„ Feature Compatibility

Not all campaign types are compatible with all distribution types. Similarly, some hooks may only work with specific campaign or distribution types.

We are actively building a feature compatibility page within the Merkl app to display which campaign types support specific distribution methods and hooks.

How To Track Merkl's Current Feature set

Until this page is live, you can refer to:

Some hook, campaign type, and distribution combinations are not configurable directly via the frontend. In such cases, we recommend reaching out to usβ€”we can either configure your campaign for you or provide dedicated API endpoints to help you set it up.

define how rewards are allocated among eligible users. Common models include:

: Lists supported chains, reward tokens, as well as integrated AMMs, and ALMs.

: gives the list of campaign types supported in the frontend

Merkl’s capabilities continuously expand, adding support for new campaign types, distribution methods, and hooks. The pages above may not always reflect the latest features. If you need a custom incentivization model, contact us by opening a or sending a message on Telegram.

πŸͺ·
Campaign types
Concentrated Liquidity Incentives
Lending & Borrowing Incentives
Airdrop Campaigns
ERC20 Holder Incentives
Distribution types
Merkl Integration Page
Merkl Create Campaign Page
BD ticket on Discord