Learn more about how EUL is distributed to protocol users to decentralise governance
The distribution programme is broken down into cycles called epochs.On Euler, you can be eligible to receive EUL by either staking your lending positions (eTokens) to Euler staking contract or by borrowing one of the incentivized assets, which have been determined either by governance or by the staking gauge system.
The amount of EUL each borrower receives is proportional to the time-weighted amount of debt they held of an asset within the epoch. For example, if 50 EUL are to be distributed to the DAI market in epoch 3, and if Alice borrows 10 DAI for 1 day, and Bob borrows 5 DAI for 2 days, then at the end of the epoch, and after the merkle-root update (typically takes a few hours), they will both be able to claim an equal share of 25 EUL.
The same logic applies to the lenders that stake their eTokens to one of the Euler staking contracts. For example, if 50 EUL are to be distributed to the USDC staking pool in epoch 3, and if Alice stakes 10 eUSDC for 1 day, and Bob stakes 5 eUSDC for 2 days, they will both be able to claim an equal share of 25 EUL at any time.
Users with an EUL distribution allocation can navigate to the rop right of the UI and click the 'Claim' button. That will open a dialogue box, showing a user's projected EUL distribution after the current epoch has completed. This will tick up second-by-second as a user accrues more time-weighted borrowing. The pending balance below that shows EUL tokens already distributed to the user but which remain in the distribution smart contract unclaimed. Users can click the Claim button in the bottom right of the dialogue to transfer those tokens to their wallet.