Comment on page
Vote-Matching
Projects wishing to pool liquidity with opxVELO will receive 1 vote for every 1 opxVELO in a pool with their project's token. A weekly snapshot captures the total opxVELO paired with partner tokens and allocate votes from the opxVELO project's position accordingly.
This allows projects three ways to receive a boost in their APRs for such pools:
- 1.They can bribe each week, providing incentives for users to pool opxVELO with their token.
- 2.They can use their own project's veVELO position to provide incentives for an opxVELO pairing.
- 3.They can bulk mint opxVELO and pool it without incentivizing it.
This creates two unique opportunities for projects:
- 1.Projects that farm VELO lock it to grow their veVELO position. With the vote-matching project, partners are able to mint opxVELO and pool it, retaining their liquid exposure while simultaneously growing their exposure to veVELO incentives for their project's token.
- 2.When opxVELO is trading below a 1:1 ratio to VELO, projects can purchase opxVELO on the spot market and pool it to increase exposure to veVELO and opxVELO at a discount.
Incentives collected by each vote-matching pool are re-allocated to their respective pool weekly, returning them to the Velodrome ecosystem. Fees collected from these pools will be paired and deposited into a corresponding OpenXSwap Vault ensuring perpetual liquidity provision for opxVELO and their token that grows over time for participating projects, acting as a liquid rebase.
This means that 100% of all incentives and fees collected by the opxVELO project return to the Velodrome ecosystem either in the form of recycled incentives or deeper liquidity.
---
If your project is interested in this program, please open a ticket on our Discord.
Last modified 15d ago