Liquidity Mining & Trading Rewards

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Overview
Starting Feb 17th, Polymarket will begin some experiments around liquidity incentives and alternative LP fee parameters, this will also help distribute UMA to further decentralize governance. Initially, the experiment will subsidize two activities: 1) liquidity provisioning in designated markets and 2) fee rebates. Qualified users will be able to view and manage their rewards through a new page on the Polymarket interface. The goal of this program is to experiment with incentivization schemes and to help catalyze a more sustainable and organic marketplace paying specific attention to supply-side dynamics.
50,000 USDC and 10,000 UMA will be distributed to users in the first epoch through liquidity provisioning, fee rebates, and community bounties. 
1.Liquidity provisioning: Users can provide liquidity to a select number of markets in each epoch. Liquidity rewards are calculated per block, rewarding users who provide constant levels of liquidity. The eligible markets can be found on the rewards page or indicated with a ⚡️ on the markets page. 
2.Fee rebates: Users can also earn rewards proportionate to the fees they pay when trading. Fee rewards are calculated by dividing the users' fees by the total protocol fees at the end of the epoch. 
3.Community bounties: Bounties are distributed each week to users who provide a meaningful and impactful service to the community or the protocol. This can include but is not limited to marketing material, Discord moderation, and much more!
Details
Methodology
The starting ruleset, defined below, is subject to change in later epochs as feedback is collected and further considerations are made.
Liquidity rewards for an LP over an epoch will be calculated as the sum of the following across all qualifying markets:
This essentially says LPs will earn a pro rata distribution of the reward available each block for a market based on their relative liquidity share.
Fee rewards for a trader over an epoch are calculated daily and then summed. Each day the following calculation is made with the totalFeeRewards available for that day (starting and ending at 12:00 PM ET) being 1/7th of the total fee rewards available for the epoch.
In effect, fee rewards are distributed pro rata based on a trader's daily share of total fees paid. The right to disqualify wash trading from the reward distribution is reserved. Additionally trades that have an average price of more than 98 cents are not qualified for trading rewards.
Parameterization and Claiming
For the first 7-day epoch there will be ~50,000 USDC and ~10,000 UMA available.The specific distribution of rewards for the current epoch, along with estimated LP APR per market, estimated user’s epoch rewards and additional details will be viewable on the rewards page of the Polymarket interface.
Claiming
Once an epoch has ended and new one has started, users will be able to claim their rewards, through either the Polymarket rewards interface, an alternative interface, or directly on-chain. Claiming is done through merkle distributors. The code for these distributors, along with a complementary SDK and the mapping used to generate each epoch’s merkle root (user’s merkle root claim indexes), will be open sourced and made available in the polymarket-liq-ming repo.
FAQ
How do I see the rewards that I have earned this epoch? 
You can view epoch data on the rewards page. 
When can I claim my rewards? 
Rewards are distributed to eligible addresses at the end of each epoch. Rewards roll over every epoch so you can claim them at the time most convenient for you!
Can I claim rewards directly to an exchange? 
Rewards are distributed on the Polygon blockchain, so it is not recommended to put an exchange address as the destination. In order to guarantee access to your tokens, send them to a wallet located on the Polygon blockchain. 
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Outline
Overview
Details
Methodology
Parameterization and Claiming
Claiming
FAQ