GIP-131: Should Gnosis DAO continue and update the Gnosis Pay Cashback Programme?
- Yes
- No
Summary
This proposal continues and updates the cashback programme approved under GIP-110, introducing higher reward rates, progressive weekly spend caps tied to GNO holdings, and stronger anti-gaming measures. The goal is to drive Gnosis Pay card usage, incentivize GNO holding, and ensure long-term sustainability.
Key updates:
- Higher maximum cashback: increased from 4% up to 8%, plus +1% for OG NFT holders (9% max)
- Maximum GNO holding eligible for rewards increased from 100 GNO to 1,000 GNO
- Weekly eligible spend now scales with GNO holdings, capped at USD 2500 equivalent for the largest holders
- Budget: 5,000 GNO
- Estimated budget duration: Based on current transaction volumes and the updated cashback model, the budget is expected to last 5–8 months.
- Updated terms to close loopholes and block bad actors
| Average GNO holding for 7 days | Cashback rate | Max Eligible Weekly Spend |
|---|---|---|
| 0.10 | 1.00% | $200 |
| 0.50 | 1.70% | $235 |
| 1.00 | 2.00% | $250 |
| 5.00 | 2.70% | $337 |
| 10.00 | 3.00% | $375 |
| 20.00 | 3.30% | $488 |
| 50.00 | 3.70% | $637 |
| 100.00 | 4.00% | $750 |
| 200.00 | 5.20% | $1,277 |
| 500.00 | 6.80% | $1,973 |
| 1,000.00 | 8.00% | $2,500 |
Rationale
The cashback programme launched under GIP-110 successfully boosted Gnosis Pay adoption, but analysis showed:
- A small number of users made disproportionately high spending to maximise cashback (“gaming” behaviour)
- A large share of rewards went to these outliers, reducing fairness and ROI.
GIP-131 addresses these issues by:
- Linking weekly eligible spend to GNO holdings via a logarithmic scaling formula
- Increasing reward rates for sustained, higher GNO holdings
- Replacing the flat weekly cap with progressive caps
- Tightening anti-manipulation rules to block manufactured spend and self-funding
Expected results:
- Fairer reward distribution across more genuine users
- Longer budget lifespan, benefiting more participants
- Stronger GNO demand through higher holding incentives
Continuation of GIP-110
This is a direct continuation of the programme established under GIP-110 , with changes based on performance analysis, and community feedback and inspiration taken by another proposal to adjust the cashback programme GIP-125. All unchanged terms from GIP-110 remain in effect unless updated here.
Based on current transaction volumes and the updated cashback model, we estimate the programme budget will last approximately 5–8 months. During this period, we will continue to design a long-term, more sustainable loyalty rewards mechanism, planned to align with the launch of the Gnosis Wallet as outlined in GIP-128.
Implementation
- Cashback rate: Scales continuously with the lowest GNO holding in the 7-day snapshot period, up to 8% base or 9% with OG NFT bonus
- Weekly spend cap: Varies with GNO holdings, up to USD 2500 equivalent
- The eligible spend cap is applied on a weekly basis, aligned with the weekly reward distribution schedule. Unused eligible spend does not roll over to future weeks.
- Distribution: Weekly (5–12 days after payment) in GNO on Gnosis Chain using Chainlink/Chronicle FX rates
- Administration: Operated by kpk on behalf of the Gnosis DAO Operational Foundation
Budget
- Total: 5,000 GNO
- Runs until budget depletion or DAO decision to terminate or replace with a new reward model
Anti-Gaming Measures
Ineligible Transactions & Behaviours
- ATM withdrawals – cash withdrawals do not earn cashback.
- Bank account top-ups – loading bank accounts via the card is excluded.
- Refund cycling – making purchases and refunding them to generate rewards.
- Merchant self-payments – paying yourself or an associated merchant.
- Self-funding & merchant collusion – coordinated spending to inflate rewards.
- Rapid repeat transactions – multiple payments to the same merchant in a short period.
- Automated or scripted transactions – using bots or scripts to trigger payments.
- Suspicious or abnormal activity – spending patterns inconsistent with genuine use.
- GNO top-ups immediately before spending without sustained holding.
Penalties
- Disqualification from the current cashback programme.
- Blacklisting from all future GnosisDAO-funded incentive programmes.
GNO Cashback Offer Rules (“Official Rules”)
Sponsored, Administered, and Operated by:
The GNO Cashback Program (“Offer”) is sponsored by GnosisDAO (“Sponsor”), offered and administered by the Gnosis DAO Operational Foundation (“Administrator”), and operated by kpk(“Operator”) in accordance with its mandate from the Sponsor.
1. Eligibility
The Offer is only open to Gnosis Pay account holders who have:
- an Operational Account; and
- are in compliance with the Gnosis Pay terms and conditions available here: Gnosis Pay WebApp Terms of Service | Gnosis Pay Legal 14, which includes compliance with the applicable cardholder terms, which are here 15 for the UK+Switzerland and here 16 for the EEA (“User”).
For the purposes of these terms, an “Operational Account” means a Gnosis Pay account (including the card) which has not been frozen, suspended, closed, deactivated or terminated. Users must meet the eligibility criteria up to and including the date of distribution of any GNO Reward (as defined below). Failure to meet the eligibility requirements prior to the distribution of any GNO Reward will mean the User is not eligible and will not receive any GNO Reward.
2. Acceptance of Rules
By Opting In (as defined below) or otherwise participating in the Offer, each User:
- (a) agrees to be bound by these Official Rules and by the interpretation of these Official Rules by the Administrator and by the decisions of the Administrator, which are final and binding in all respects;
- (b) acknowledges compliance with these Official Rules; and
- (c) agrees to comply with any and all applicable federal, state and local laws, rules and regulations.
Receiving any Cashback (as defined below) is contingent upon fulfilling all requirements set forth in these Official Rules.
- Offer Term; Snapshot Period
The Offer begins and ends at the times and dates specified by the GIP-131 proposal or, if earlier, shall end as soon as there are no more funds in the Cashback Reward Pool (as defined below), or as may be further specified by the Operator, in its absolute and final discretion (“Offer Period”).
The “Snapshot Period” is the seven (7) days preceding a Card Payment (as defined below).
- Method of Participation
To participate in the Offer, a User must satisfy the eligibility criteria set out above, and meet the below requirements:
- Opt in via Gnosis Pay Web App as directed on the UI;
- Have or hold at least 0.1 GNO tokens in their Gnosis Pay Safe throughout the Snapshot Period (“GNO Holding”); and
- Make a payment (excepting any ATM withdrawals or Payment Manipulation) from the User’s Gnosis Pay card (“Card Payment”), up to a maximum eligible weekly spend amount that scales with GNO holdings using the GIP-131 logarithmic model, with a maximum cap of USD 10,000 equivalent (as applicable to the User).
Users can decide to opt out of the Offer at any point by transferring out their GNO tokens from their Gnosis Pay Safe or reducing their GNO Holding to less than 0.1 GNO.
Any GNO obtained through bad trading practices, including but not limited to wash trades, false trading, self-dealing, or trades that display any attributes of manipulation (“GNO Top-Up Manipulation”) will not be counted towards the GNO Holding of the User.
Any card payments, or activities in relation to the Offer, that constitute manufactured spending, refund cycling, account churning, misleading purchases, cooperation with merchants, self-funding, multiple or rapid repeated transactions with the same merchant in a short time frame, automated or scripted transactions, patterns indicative of fraud or abuse, or any other conduct that displays attributes of an attempt to game or manipulate the Offer (“Payment Manipulation”) will not be counted towards the Card Payment amounts of the User.
Any person engaging in GNO Top-Up Manipulation, Payment Manipulation, or otherwise trying to game, exploit, maliciously manipulate the Offer (“Offer Manipulation”) to increase their rewards or reduce anyone else’s will not receive the GNO Rewards and will be blacklisted from any future participation in this Offer and any future reward program sponsored by GnosisDAO, in Operator’s sole and absolute discretion.
- Cashback
The total Cashback reward pool is 5,000 GNO (“Cashback Reward Pool”).
Users will only receive Cashback:
(i) provided that the User is still satisfying the eligibility criteria set out in section 1 above at the time of the distribution;
(ii) so long as and to the extent that there are still funds available in the Cashback Reward Pool will Users receive any Cashback; and
(iii) calculated against their Card Payments up to the Maximum Eligible Payments for their GNO holding level, beyond which there would be no further Cashback for Card Payments in that month.
Cashback will be distributed in accordance with the below:
| Average GNO holding for 7 days | Cashback rate | Max Eligible Weekly Spend |
|---|---|---|
| 0.10 | 1.00% | $200 |
| 0.50 | 1.70% | $235 |
| 1.00 | 2.00% | $250 |
| 5.00 | 2.70% | $337 |
| 10.00 | 3.00% | $375 |
| 20.00 | 3.30% | $488 |
| 50.00 | 3.70% | $637 |
| 100.00 | 4.00% | $750 |
| 200.00 | 5.20% | $1,277 |
| 500.00 | 6.80% | $1,973 |
| 1,000.00 | 8.00% | $2,500 |
The cashback percentage scales continuously within the model, meaning, for example, that if a User’s lowest GNO Holding through the Snapshot Period was 5.5 GNO, then their relevant Base Cashback would be determined according to the scaling formula.
Users holding a Gnosis Pay OG NFT in their Gnosis Pay SAFE (“OG Holders”) will receive an additional 1% on the Base Cashback (“OG Bonus”, which together with the Base Cashback is referred to as “Cashback”), hence their total Cashback would be Base Cashback +1%, up to a 9% cap.
6. Distribution of Cashback
The Cashback rewards will be automatically distributed in GNO tokens on Gnosis Chain to the User’s Gnosis Pay Safe (“GNO Reward”), on a weekly basis, 5–12 days after the relevant Card Payment.
GNO Rewards will be calculated in the currency of the Card Payment using the Chainlink (or Chronicle for GBP) price feed for GNO/USD, EUR/USD or GBP/USD at the time of distribution of the Cashback to the User.
Any User who is reasonably found to be either failing to meet the Offer eligibility criteria or who is engaging in or attempting to engage in Offer Manipulation will not be sent any GNO Reward, and may suffer the consequences further set out in section 4 above. ANY VIOLATION OF THESE OFFICIAL RULES BY USER WILL RESULT IN SUCH USER’S DISQUALIFICATION FROM RECEIVING ANY GNO REWARD AND ALL PRIVILEGES AS A USER UNDER THIS OFFER WILL BE IMMEDIATELY TERMINATED. ANY ATTEMPT BY ANY PERSON TO DELIBERATELY DAMAGE OR UNDERMINE THE LEGITIMATE OPERATION OF THE OFFER MAY BE IN VIOLATION OF CRIMINAL AND CIVIL LAW AND SHOULD SUCH AN ATTEMPT BE MADE, THE SPONSOR, THE ADMINISTRATOR, AND THE OPERATOR RESERVE THE RIGHT TO SEEK REMEDIES AND DAMAGES (INCLUDING ATTORNEYS’ FEES) FROM ANY SUCH PERSON TO THE FULLEST EXTENT PERMITTED BY LAW.
- Refunds
If a User receives a refund on a Card Payment, any GNO Rewards will be suspended until the total amount of Cashback corresponding to the refunded amount has been offset. This means that the User will not receive any new GNO Rewards until the value of the Cashback from the refunded amount has been fully accounted for by new Cashback calculations on eligible Card Payments. This is without limitation to any measures the Operator may take against the User if the User is found to be engaging in Offer Manipulation.
8. Limitation of Liability
THE CASHBACK IS OFFERED AND PROVIDED “AS IS” WITH NO WARRANTY OR GUARANTEE BY THE SPONSOR OR ANY OF ITS RELATED ENTITIES, OR THE ADMINISTRATOR, EITHER EXPRESS OR IMPLIED. IN NO EVENT WILL THE SPONSOR OR ANY OF ITS RELATED ENTITIES, THE ADMINISTRATOR OR OPERATOR BE LIABLE TO ANY USER FOR ANY DIRECT, SPECIAL, INCIDENTAL, EXEMPLARY, PUNITIVE OR CONSEQUENTIAL DAMAGES (INCLUDING LOSS OF USE, DATA, BUSINESS OR PROFITS) ARISING OUT OF OR IN CONNECTION WITH A USER’S PARTICIPATION IN THE OFFER, WHETHER SUCH LIABILITY ARISES FROM ANY CLAIM BASED UPON CONTRACT, WARRANTY, TORT (INCLUDING NEGLIGENCE), STRICT LIABILITY OR OTHERWISE, AND WHETHER OR NOT THE SPONSOR OR ANY OF ITS RELATED ENTITIES, THE ADMINISTRATOR, OR THE OPERATOR HAVE BEEN ADVISED OF THE POSSIBILITY OF SUCH LOSS OR DAMAGE.
SOME JURISDICTIONS DO NOT ALLOW THE LIMITATION OR EXCLUSION OF LIABILITY FOR INCIDENTAL OR CONSEQUENTIAL DAMAGES, SO THE ABOVE LIMITATION OR EXCLUSION MAY NOT APPLY TO USERS IN SUCH JURISDICTIONS.
9. Indemnification
By participating in the Offer, each User agrees to indemnify, defend, and hold harmless, the Sponsor and any of its related entities, the Administrator, and the Operator from any and all liability, for any claims, damages, injuries or losses of any kind, and to release all rights to bring any claim, action or proceeding arising out of, in connection with, or relating to participation in the Offer or receipt of any GNO Reward. Each User assumes all liability for any injury or damage caused, or claimed to be caused, by participation in the Offer, or the acceptance, receipt, or use of the GNO Reward or any Cashback component. Each User further agrees that in any cause of action, the Sponsor or any of its related entities, the Administrator, and the Operator’s liability will be limited to the value of the GNO Rewards distributed to the User during this particular Offer, and in no event shall the Sponsor or any of its related entities, the Administrator, or the Operator be liable for attorney’s fees.
10. No Assumption of Responsibility; Force Majeure
The Sponsor and any of its related entities, the Administrator, and the Operator are not responsible if the Offer cannot take place or is delayed, or if the GNO Reward cannot be distributed or is delayed, interrupted or fails due to acts of God, war, natural disasters, weather, acts or threats of terrorism, strikes, lockouts, labor disputes, work stoppages, fire, acts of government, or other events outside of the reasonable control of the Sponsor and any of its related entities and of the Administrator and Operator.
11. Notices, Amendments and Clarifications
Administrator reserves the right, in its sole discretion, to cancel, terminate, modify, or suspend the Offer or any part of the Offer and to change, amend or modify these Official Rules or any part of these Official Rules, provided that any such modifications or amendments remain consistent with and uphold the fundamental philosophy and principles of the original Offer and that any such change or other notice shall be either posted by Administrator or Operator to the GIP forum relating to this Offer or published as a new GIP and take effect two weeks after such post or at such other time as specified by Administrator in the post. Administrator reserves the right, in its sole and absolute discretion, to modify and amend these Official Rules from time to time without notice during the Entry Period for clarification purposes or if the amendment or modification is otherwise non-material or non-significant.
12. Feedback
If you have any feedback, questions or complaints regarding the Offer or these Official Rules, please email gnosisdao@karpatkey.com.
13. Dispute Resolution
In the event of any dispute in connection with the Offer or these Official Rules, Administrator reserves the right to make all final decisions regarding the Offer, in its sole and absolute discretion.
Any dispute arising out of or in connection with this contract, including any question regarding its existence, validity or termination, shall be referred to and finally resolved by arbitration under the LCIA Rules, which Rules are deemed to be incorporated by reference into this clause. Any arbitration commenced pursuant to this Clause shall take place in the English language through an independent and impartial board comprising one arbitrator to be appointed by agreement between the parties to the proceedings.
By Opting In and otherwise participating in the Offer, you acknowledge that you waive any right to participate in a class action, collective action, or group litigation. Any disputes or claims arising out of or relating to these Official Rules shall be resolved on an individual basis. You agree that you may bring claims against the Administrator, Operator, Sponsor, and any affiliated or related parties only in your individual capacity, and not as a claimant or class member in any purported class or representative proceeding.
14. Accessibility of Official Rules and Reward Calculation Code
The GIP-131 Proposal for this Offer is available at the following link: [GIP-131 Forum Post Link] and these Official Rules are linked in the GIP Proposal for this Offer. The GNO Reward calculation code will be open source and available at: GitHub - karpatkey/gnosis-pay-rewards-monorepo.
15. Taxes
Cashback received and GNO Rewards may be taxable, depending on the country, state, and/or local tax laws applicable to the User. Users are solely responsible for reporting such items in their tax returns and paying any associated tax(es), duties, levies and liabilities.
16. No Financial Advice
Nothing contained herein or in relation to the Offer shall be construed to be financial advice. Holding and transferring crypto assets involves a high degree of risk and there is always the possibility of loss, including the loss of all digital assets in the event of a mistaken transfer (whether to an incorrect address or an incorrect chain). Please seek professional advice before making any financial, investment, or trading decisions.
17. Entire Agreement
These Official Rules constitute the entire agreement between Administrator and the User. The invalidity or unenforceability of any provision of these Official Rules will not affect the validity or enforceability of any other provision. In the event that any provision of the Official Rules is determined to be invalid or otherwise unenforceable or illegal, the other provisions will remain in effect and will be construed in accordance with their terms as if the invalid or illegal provision were not contained herein. The Administrator, the Operator, and the Sponsor and its entities’ failure to enforce any term of these Official Rules will not constitute a waiver of that term or any other provision of these Official Rules. Each User agrees to waive any rights to claim ambiguity of these Official Rules. Headings are solely for convenience of reference and will not be deemed to affect in any manner the meaning or intent of these Official Rules or any provision hereof. In the event there is a discrepancy or inconsistency between disclosures or other statements contained in the Offer–related materials, including any referenced privacy policy or terms of use on a website and/or the terms and conditions of these Official Rules, the Official Rules shall prevail, govern and control and the discrepancy will be resolved in the Administrator’s sole and absolute discretion.
