# Incentivized delegation vaults (IDVs)

Event Horizon has a novel solution to the problem of low token participation called [Incentivized Delegation Vaults](https://eventhorizon.vote/delegate) (IDVs). IDVs leverage the fact that today, the standard APR on DAO assets is 0%. There's simply no incentive to do anything with your DAO tokens, including delegating to active delegates. But as everyone makes the rational decision to be lazy with their assets, everyone is collectively worse off (see quorum and security concerns). 

Event Horizon is in a unique position in being a public good that works with DAOs. In short, DAOs give tokens to Event Horizon, and we give these tokens to users who delegate their tokens to Event Horizon. All this voting power is then given away to retail but the net effect is the following: token holders make money, the votable supply of DAO tokens increases, and retail voters are further enfranchised. 

Through IDVs, Event Horizon tracks contributions and emits airdropped token rewards to participants weekly. Rewards are distributed pro rata based on each user’s dollar-valued delegation. For example, if 10 users each delegate $10, each receives 10% of the emission. Users stake tokens (or in this case delegate tokens) and receive airdropped rewards in return. IDVs allow users to contribute to a public delegation pool while also earning yield.

<figure><img src="/files/bZ6EJkn55j2DARwLIgT5" alt=""><figcaption></figcaption></figure>

IDVs are a great solution for low token participation because they are completely risk free:&#x20;

* No transfer of assets
* One click signature
* No smart contracts involved
* No timelock of commitment&#x20;
* Rewards are airdropped, no claiming necessary

<figure><img src="/files/koeDFIbMwUhi0dcKgjyp" alt=""><figcaption></figcaption></figure>

IDVs are currently [live](https://eventhorizon.vote/delegate). For a more indepth writeup, check out our [blog](https://medium.com/eventhorizon/incentivized-delegation-vaults-c69f49d65114).


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