Silo Finance approves new revenue-sharing model for SILO holders to earn in USDC, ETH

Silo Labs’ latest governance voting to switch xSILO rewards to USD Coin and Ethereum has ended with staggering support for the new revenue-distribution ￰0￱ proposal , launched 4 days ago, gauges whether the SILO community is interested in switching the reward-sharing framework from buyback and distribution to a direct distribution of USDC or ￰1￱ voting has concluded with 21.1 million (96.98%) supporting shifting to USDC rewards and 411k (1.89%) ￰2￱ participant abstained, while 248K (1.14%) preferred maintaining the existing reward-sharing ￰3￱ – Silo Finance Silo’s proposal suggested distributing half of the protocol revenue to its investors in USDC and ￰4￱ meant switching from the current model of using capital to repurchase SILO assets before distributing incentives to ￰5￱ official blog post read: If approved, 50% of revenue will be swapped for USDC or ETH (instead of being used for buybacks) and distributed to xSILO holders.

Meanwhile, the results confirm a preference for ￰6￱ 97% of voters want to receive their rewards directly in USD Coin, indicating a rising desire for dollar-tied, predictable ￰7￱ saw a modest preference, signalling appetite for financial stability in the volatility-prone asset class. What’s next for xSILO holders With the proposal approved, Silo Finance will convert 50% of its revenue into Ethereum or USDC and share it with xSILO ￰8￱ marks the end of the buyback model, which utilised revenue to buy SILO coins on the open market before distributing them to ￰9￱ change brings various benefits to the SILO ￰10￱ instance, holders will enjoy predictable ￰11￱ and Ethereum payouts are clear and tangible, unlike market-influenced buybacks.

Moreover, the updated model ensures incentives that are less impacted by market ￰12￱ changes guarantee holder returns while gauging the feasibility of direct revenue distribution in the long term. 3-month trial starts in September While the community overwhelmingly backed the transition, Silo Finance will conduct a pilot ￰13￱ Labs @SiloFinance · Follow A snapshot proposal has been posted to switch xSILO incentives to USDC or ￰14￱ passed, this three-month pilot will allow xSILO holders to earn 50% of DAO revenue in the form of USDC or ETH instead of the current buyback-and-distribute ￰15￱ with your xSILO below.👇 6:57 pm · 22 Aug 2025 45 Reply Copy link Read 12 replies The new revenue-sharing framework starts on September 1 and runs for 90 ￰16￱ three months, the SILO community will review and evaluate whether the updated model offers intended ￰17￱ successful, Silo Finance will adopt it as a permanent mechanism for distributing value among ￰18￱ price outlook The native coin trades at $0.02170 after a nearly 4% decline on the daily ￰19￱ by CoinMarketCap Broad market declines as profit-booking contributes to SILO’s bearish ￰20￱ indicators suggest more pain, with prices poised for more dips before rebounding.

Nonetheless, the new revenue-sharing approach could supercharge the project’s ￰21￱ USDC rewards might attract more individuals to stake xSILO, boosting the protocol’s utility and user ￰22￱ SILO will likely benefit from broader recognition and heightened network activity.