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Distribute incentives
Launch app
Distribute incentives
Launch app

Merkl explained

Discover how Merkl works: a battle-tested infrastructure refined over 3+ years, now leading the way in token distribution

 

1. Campaign creator sets parameters

The protocol, chain, or wallet defines the parameters of its campaign using Merkl Studio (reward, dates, eligibility criteria, etc) and transfer the rewards to distribute to Merkl. The campaign becomes visible in the Merkl App one hour after its creation.

Merkl-Studio-Campaign-Parameters

2. Merkl tracks onchain activity

Merkl tracks onchain user activity corresponding to the incentivized behavior (e.g. supplying assets to a vault, or holding a specific token). Tracking is exhaustive and does not rely on discretionary snapshots.

Merkl-indexing-blockchain

3. The Merkl Engine computes rewards

Every 2 hours, the Merkl Engine calculates reward allocations for every participant by matching user onchain data with campaign rules (amount of rewards to distribute, blacklist, etc). Rewards appear as “coming soon” in users’ Dashboard.

Merkl-Status-Page-1

4. The Merkl Engine distributes rewards

Every 8 hours, the Merkl Engine generates a Merkle Tree to batch computed rewards and push them onchain. Rewards can now be claimed by users in their Dashboard on the Merkl App.

Claim-Merkl-Dashboard

5. Campaign creator analyzes KPIs

The campaign creator monitors and analyzes metrics such as TVL and APR evolutions while the campaign is still live. Once the campaign is over, it can optimize it by tweeking a few parameters or renew it instantly in a few clicks.

Merkl-Studio_TVL-Evolution

Hear it from our clients

OKU
GettyOKU (GFX Labs)
"Merkl simplifies rewarding users for providing liquidity, whether directly to pools or through automated liquidity managers. This allows Oku users to easily claim their Uniswap v3 rewards without taking on additional smart contract risk."
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MarkOptimism
"Partnering with Merkl allowed us to scale our liquidity initiatives across multiple chains with ease, driving over $100M in added liquidity and $66 in TVL per OP token distributed. Their support was key to the growth of the Optimism ecosystem."
Morpho-with-background-logo
MerlinMorpho
"Working with Merkl has been a real relief for our team. Instead of spending time and resources maintaining a complex in-house reward system, we can now focus fully on building the best lending experience."
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CharlieHourglass
"What convinced us to work with Merkl was their ability to adapt their architecture to our security requirements. They delivered a custom wrapper flow that made the refund seamless for users while ensuring Hourglass retained strict control over the vault at all times."
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MartinAave Chan Initiative
"Working with Merkl has made it much easier to run incentive programs on Aave. Their team is reliable, the integration is smooth, and it has allowed us to launch more ambitious rewards with less overhead."
Merkl stories

Discover how top projects grow using Merkl

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TOUCH
Aave
AaveRead case study
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MorphoRead case study
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Trust WalletRead case study

FAQ

What is Merkl? Merkl is the leading incentive and point management platform, backed by a16z. We help protocols, blockchains, and wallets boost liquidity across any DeFi venue. Since our launch in November 2023, we've distributed over $1 billion in incentives across 60+ chains, with 200+ protocols. We're the team behind all Uniswap, Morpho, Euler, Arbitrum, and Optimism incentives.
How do incentive platforms work? Incentive platforms automate and optimize the distribution of rewards based on user activity. They connect users with web3 projects looking to boost activity and engagement. Users perform actions (hold token, supply liquidity,…) and earn rewards, while web3 projects boost their growth (TVL increase, user engagement,…). There are different types of incentive platforms: custodial, non-custodial, social-focused, DeFi-focused, etc.
What types of incentive campaigns does Merkl support?

Merkl supports a wide range of incentive campaign types across 50+ chains:

- Liquidity incentives for concentrated liquidity pools (CLAMM) like Uniswap v3 & v4

- Lending & borrowing incentives across protocols like Aave, Morpho, and Euler

- Airdrops (to a predefined list or users meeting specific criteria)

- Rewards for ERC20 token holders, based on their balance over time (e.g., LP token holders)

- Point systems to drive engagement and retention

And we're constantly expanding with new use cases!
Does Merkl charge fees?

Campaign creation comes with a 3% maintenance fee, except for airdrop campaigns, which have a reduced 0.5% fee. Merkl is free for retail users, aside from gas fees.

For custom or long-term incentive programs, reach out to us — we’d be happy to discuss tailored pricing!
What are the best incentive strategies?

Choosing the right incentive strategy depends on your goals and needs. For instance, during a token launch, it’s often best to hold off on incentives until the price stabilizes, whereas for a stablecoin, building a liquidity wall can be a smart move. These are just a couple of many possible approaches.

Additionally, optimizing a campaign also means selecting the right reward distribution model—whether it's a fixed reward rate, variable reward rate, or event-based rewards (e.g., swaps, follows on X, etc.).
How to get started with Merkl incentives?

Distributing incentives with Merkl is quick and easy. Just head over to Merkl Studio, set up your campaign parameters (amount, chain, dates, etc.), and launch it in a few clicks!

If you're planning a large-scale incentive program, need advanced customization, or have any questions along the way, feel free to reach out — we’re here to help!

Ready to get started?

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