# January Protocol Report: USDC Yield for $ZFI Stakers By [Zyfai](https://blog.zyf.ai) Β· 2026-02-02 usdc, agent, stablecoins, yield, defi --- January is over, and we're excited to share our monthly protocol report. Last month, an updated protocol fee allocation model was approved by the DAO. [![User Avatar](https://storage.googleapis.com/papyrus_images/b26a3c8f59369024bf5bb45471429d70ae7e0e0900293a6d0659f15816862a89.jpg)](https://twitter.com/ZyfAI_) [Zyfai](https://twitter.com/ZyfAI_) [@ZyfAI\_](https://twitter.com/ZyfAI_) [](https://twitter.com/ZyfAI_/status/2005946450656800912) ZIP: Zyfai Incentives Update – Protocol Fee Allocation & Operations Mandate TL;DR: Changes to protocol fees distribution β†’ 50% paid to $ZFI stakers in USDC β†’ 50% allocated to operations & development under DAO mandate Vote NOW + read the rationale ![🧡](https://abs-0.twimg.com/emoji/v2/72x72/1f9f5.png)![πŸ‘‡](https://abs-0.twimg.com/emoji/v2/72x72/1f447.png) ![](https://storage.googleapis.com/papyrus_images/ad43ff4a4482965b30fc046e05b9f834bc1b2bd12c5b5336a646028c2fafaeb2.jpg) [54](https://twitter.com/ZyfAI_/status/2005946450656800912)[ 5:17 PM β€’ Dec 30, 2025 ](https://twitter.com/ZyfAI_/status/2005946450656800912) Previously, protocol fees were used for buybacks, with 50% burned and the remaining 50% distributed to $ZFI stakers in the form of liquid $ZFI. This model had several non-obvious drawbacks, including sell pressure on distributions, buyback front-runs, execution complexity, and indirect value flow to stakers. The new model is simpler and designed to accelerate growth while giving $ZFI stakers more flexibility. **Starting this month, protocol fees are distributed as follows:** * 100% of protocol fees flow to the DAO treasury * **50% of protocol fees** are then distributed **to $ZFI stakers**, **paid in USDC**Β (monthly, pro-rata) * The remaining 50% is allocated to protocol operations and R&D under the DAO mandate Allocating a portion of fees to protocol growth ensures Zyfai has the resources to scale faster and more sustainably. Growth accelerates the flywheel: more AUM β†’ more revenue. **At the same time, monthly USDC distributions from protocol revenue give stakers more flexibility:** * Buy and stake more $ZFI * Deposit USDC back into Zyfai Optional automations, such as auto-converting USDC to $ZFI or auto-depositing USDC into Zyfai, may be introduced in the future. The DAO may also adjust allocation percentages through future governance proposals as Zyfai matures. Previous report is available here: [![User Avatar](https://storage.googleapis.com/papyrus_images/b26a3c8f59369024bf5bb45471429d70ae7e0e0900293a6d0659f15816862a89.jpg)](https://twitter.com/ZyfAI_) [Zyfai](https://twitter.com/ZyfAI_) [@ZyfAI\_](https://twitter.com/ZyfAI_) [](https://twitter.com/ZyfAI_/status/2006433120682492026) [x.com/i/article/2006…](https://t.co/17YkbyqLfp) [49](https://twitter.com/ZyfAI_/status/2006433120682492026)[ 1:31 AM β€’ Jan 1, 2026 ](https://twitter.com/ZyfAI_/status/2006433120682492026) * * * **January Report** ================== * Snapshot date: **January 30, 2026** * Stakers: **2,181** * $ZFI staked: **16,390,427** * Performance fees accrued since last buyback: **$2,409** * $ZFI price at the snapshot: **$0.01253** * Staking amount at the snapshot date in $ value: **$205,372.05** * 50% streaming to $ZFI stakers = **$1,204 USDC** or **7.37% APY** β†’ Available in your staking dashboard: [https://zyf.ai/staking](https://zyf.ai/staking) * TX ID: [https://basescan.org/tx/0x81282a8fa0fe422e1ff206b64c8405a02d14f6bfcc3cef1ccbbad7cf453c65d8](https://basescan.org/tx/0x81282a8fa0fe422e1ff206b64c8405a02d14f6bfcc3cef1ccbbad7cf453c65d8) * 50% allocated to Ondefy Ltd for protocol operations and development under the DAO mandate = **$1,204 USDC** * TX ID: [https://basescan.org/tx/0x87316d08ab7d69aacc1f7d17cec4f753288c092a4a9683999cab007dcf296ce5](https://basescan.org/tx/0x87316d08ab7d69aacc1f7d17cec4f753288c092a4a9683999cab007dcf296ce5) * * * **How to maximize your monthly staking yield** ============================================== If you want the highest share of rewards, timing matters. * The earlier in the month you stake, the larger your position at snapshot time. * Snapshot happens at theΒ _end of every calendar month_. * If you staked in Month A, you receive yield throughout Month B. * If you unstake before the end-of-month snapshot, you are excluded from the next month's reward stream. ![](https://storage.googleapis.com/papyrus_images/9615407f364c453d6db6407e6cb629834560fdf15b9e3ecd75f5ba7378148c90.png) * * * **What's next?** ================ In January we: * Introduced [Zyfai's MCP server](https://x.com/ZyfAI_/status/2011468419015840024?s=20) and [Capital Splitting](https://x.com/ZyfAI_/status/2013634916739682448?s=20) * [Went live with ERC-8004](https://x.com/ZyfAI_/status/2016941270816731247?s=20) on mainnet * Doubled down on the SDK and delivered our [first integration partnership](https://x.com/ZyfAI_/status/2016161377963147577?s=20) with Zoof Wallet * Got featured in Rhinestone's [case study](https://x.com/ZyfAI_/status/2011868759506764039?s=20) * [Onboarded 9Summits](https://x.com/ZyfAI_/status/2014683199939702851?s=20) to Zyfai, a leading curator with $93m TVL * Continued [adding new pools](https://x.com/ZyfAI_/status/2011025459430244368?s=20) and [improving the UI](https://x.com/ZyfAI_/status/2014407672553251266?s=20) and [risk.zyf.ai](http://risk.zyf.ai/) dashboard * Launched the [Phase 3 of the rZFI Incentives Program](https://x.com/ZyfAI_/status/2009657003011149905?s=20) In February, we'll double down on integrating Zyfai's agentic yield layer into more products, making the Zyfai Intelligence Layer accessible through multiple AI assistants [like Openclaw](https://x.com/ZyfAI_/status/2018311181388394639?s=20), and bringing support for more assets and chains to the protocol. Thanks to everyone who shared valuable feedback with us in January! Join our Discord community and share your ideas: [https://discord.gg/zyfai](https://discord.gg/zyfai) **Onward!** * * * **About Zyfai** =============== Zyfai gives you self-custodial access to autonomous low-risk DeFi. Our customizable rule-based Agents transform your idle capital into productive assets, rebalancing between curated opportunities. The result is sustainable and risk-adjusted yield, where your capital is always working and under your control. [Explore Zyfai](http://zyf.ai/) | [Follow on X](https://x.com/ZyfAI_) | [Read blog](https://blog.zyf.ai/) | [Explore Docs](https://docs.zyf.ai/) --- *Originally published on [Zyfai](https://blog.zyf.ai/january-protocol-report-usdc-yield-for-dollarzfi-stakers)*