User Migration Incentives
User migration incentives are mechanisms designed to encourage users to move their assets from an old contract to a new one. This is often necessary when a protocol upgrades and wants to sunset the legacy version.
Incentives can include lower fees, reward tokens, or enhanced features on the new version. By providing a clear benefit, the protocol can speed up the migration process and consolidate liquidity.
Without incentives, users may remain on insecure or outdated contracts, complicating the decommissioning process.