Community vote passed! The staking APY for $PROVE will increase to 25%

The DAO governance proposal for #SuccinctLabs was recently passed with an 82.6% support rate, deciding to raise the annual percentage yield (APY) for staking $PROVE tokens from 20% to 25%, in order to further incentivize network participation and enhance security. This adjustment stems from the surge in validation demand following the launch of Mainnet 2.0, as well as the community's consensus on the long-term stability of the decentralized prover network.

Key Upgrade Content

1. Yield Distribution Optimization: The new 5% APY comes from the release of tokens from the protocol treasury, combined with the sharing of proof request transaction fees (originally 95% for provers and 5% for the treasury), the treasury will additionally subsidize stakers to ensure competitive returns.

2. Dynamic Staking Model: The APY will be dynamically adjusted based on network load; if the mainnet validation task volume exceeds the threshold for 30 consecutive days (e.g., an average of 1 million proof requests per day), an additional temporary increase of 1%-3% in APY may be triggered.

3. Strengthened Penalty Mechanism: To balance the high return risks, the confiscation ratio for malicious provers has been raised from 50% to 70%, and the staked tokens will be directly destroyed, promoting deflation.

Market Impact

On-chain data shows that after the proposal passed, the staking amount of PROVE increased by 37% within 24 hours, with whale addresses adding over $5 million in tokens. Analysts predict that if the mainnet TVL exceeds $5 billion, the APY could maintain a level of 25%+ in the long term, solidifying PROVE's position as a core yield asset in the ZK track.@Succinct