Plasma is a next-generation Layer 1 blockchain purpose-built for stablecoin payments. Designed to make money movement faster, cheaper, and simpler, Plasma is the foundation for stablecoin-driven applications, from everyday payments to advanced DeFi use cases.

The launch of its mainnet and XPL token on September 25, 2025, was one of the most anticipated moments of the year in crypto. Yet even with massive hype, launching a new chain is never guaranteed to succeed.

To capture liquidity from day one, Plasma needed a solution that was both powerful and scalable.

Merkl, known for supporting multiple chain launches with unmatched robustness and protocol coverage, was the perfect partner for this ambitious task!

To kickstart its chain, Plasma partnered with Merkl to launch an ambitious six-month reward program.

The goal was to boost the chain’s borrow and lend capacity by rewarding users with XPL tokens for engaging with protocols on Plasma, following the bridging of liquidity to the newly launched chain.

Rewards were allocated across leading protocols, including Aave, Balancer, Fluid, Euler, and more. Lending, borrowing, and liquidity provision on these protocols all became opportunities to earn.

At launch, users could access over 30 reward opportunities across 9 protocols, directly linking user participation to measurable onchain incentives.

Behind the scenes, the Merkl Engine tracked every onchain activity on Plasma, whether depositing into a vault, supplying liquidity, or simply holding a token, and calculated XPL rewards based on factors such as deposit size, duration, and pool TVL. Rewards were then automatically distributed to users, making the process seamless and fully transparent.

Plasma also leveraged one of Merkl’s most powerful features to strengthen its reward program: reward forwarding. With it, users can still earn rewards even when the incentivized asset isn’t directly in their wallet. The Merkl Engine automatically traces funds back to their true owner, ensuring rewards go to real users rather than to a protocol’s smart contracts.

For example, users who provide liquidity to the Pendle Plasma USD Vault and then stake their LP tokens in Equilibria or Penpie are still eligible for XPL rewards, even though their tokens are locked within another protocol. Better yet, Merkl faithfully reproduces each protocol’s internal logic. In Pendle’s case, even forwarded rewards respect the 5% protocol fee. This precision makes Merkl uniquely capable of powering complex, multi-layered DeFi reward systems without compromising accuracy or fairness.

But Merkl’s work didn’t stop there. We also built a dedicated Plasma App: a fully branded and customized version of the Merkl App designed to showcase all reward opportunities on Plasma and allow users to easily claim their XPL tokens.

The combination of seamless automation and an intuitive interface made it effortless for users to engage, interact, and earn.

Just two days after launch, Plasma became the 5th-largest chain by DeFi TVL, surpassing established networks such as Base, Arbitrum, and Linea.

Within just one week, the stablecoin supply had exceeded $7 billion, making Plasma the 5th-largest chain by stablecoin liquidity.

In only two weeks, Plasma processed over $50 billion in USD₮ transfers, ranking fourth globally, just behind Tron, Ethereum, and BNB Smart Chain.

This is the power of a highly targeted Merkl campaign combined with the right incentives budget.

As of this writing (October 2025), significant yet continually decreasing XPL rewards are distributed via Merkl every day, driving engagement and solidifying Plasma’s position as a leading DeFi ecosystem.

With Merkl, Plasma’s launch achieved record adoption and demonstrated how efficient incentives can accelerate ecosystem growth.