veToken Finance
Lock more veAsset permanently while providing boosted rewards for regular users
Last updated
Lock more veAsset permanently while providing boosted rewards for regular users
Last updated
veCRV token economics have been approved and increasingly adopted by various DeFi products, of which a majority use an inflationary tokenomics model to incentivize user participation. These are not sustainable in the long term perspective. There are an increasing number of defi projects that have started to adopt the ve-model.
With an increasing number of DeFi products that have started gaining implementation and adoption throughout the market, there is a need for generic DeFi protocol that builds on top of ve-model projects (to work as CVX to CRV) to increase their liquidity and demand of their governance tokens, while increasing the usability of their own products.
If you are a yield aggregator protocol like PICKLE, who has been adopting the ve-model for a year now, by integrated with veToken finance, the opportunity exists to increase the usability of yielding pools (in this case, referred to as pjar), while permanently locking PICKLE (also known as Dill), which will lead to a yield increase and repetitive positive cycle.
If you are a lending protocol like Hundred Finance, another protocol who recently adopted the ve-model, by integrating veToken, the opportunity exists to increase the supply and borrow rates, as well as increase fees, leading to more HND locked, more supply and borrow activity, and thus the cycle repeats.
Focus on long term sustainable solution: Learning from CVX and Andre’s Solidly exchange, in a long run viewpoint, in order to make such a protocol working with all ve-model projects in the long run, simply using governance token emission is not a long term and scalable solution that supports ve-model projects as generic protocols.
veAsset — Asset liquidity pools (LPs) are critical to enable such protocols continuously hounding regular users to lock the veAsset permanently; LP pools should be protocol-owned liquidity to reduce the impact of mercenary liquidity providers carrying out short-term farming practices. This will help maintain the ratio between veAsset — Asset near (1:1), and at the same time will be used as a source of protocol revenue.
We did not want to launch a Convex, votium or Bribe to compete with existing projects. As adopting ve-model becomes a trend for existing and new defi protocols, this was designed with the generic protocol which adopts the ve-model in mind.
veToken Finance is an improved version of the CVX yield protocol that targets all ve-model projects through the locking of their veAsset permanently via bond and protocol owned LP (veAsset-Asset LP), while providing regular users boosted revenue and gauge weight bribes. By owning the critical LP veAsset-Asset trading pair, veToken will not need to provide long-term large emission rates of our own token to maintain the veAsset-Asset ratio, while still providing deep liquidity. In the meantime, voting power of the veAsset can delegate the voting power to broader DeFi projects through bribes.
Support CRV, cvxCRV for profit yielding, vlCVX for governance on Curve.
Designed to support all ve-model projects, vetAsset for profit yielding, locked ve3d(3,3) — ($xVE3D) — for governance across all integrated ve-model projects, and VE3D emission that is based on the owned LP (including the value of veAsset the contract has locked). It is a long-term sustainable solution for ve projects by not utilizing governance token emissions, and instead engage through protocol-generated fees and protocol-owed Lqiudity.
Protocols that stake ve3d(3,3) receive a full liquidity boost package due to veToken support from AMM to lending and yield-generating protocols. Using one type of token xve3d can boost all the gauges that support the ve-model.
All veToken protocol revenue (income - expenses) will all be located to ve3d stakers — xve3d
VE3D emissions by the protocol should backed with veAsset locked value and LP of veAssets — Assets
xVE3D (Staked version of VE3D) vote for weight gauges and decide which pools receive VE3D token emissions (besides the protocol fees generated from all LP revenue).
All xVE3D holder owns the LP token of veAsset-assets and their future profits
xVE3D holder owns all the permanent veASSET that are permanently locked by veToken Finance
xVE3D holders owns the governance rights to the veAsset that the protocol has locked
xVE3D holders own performance fees for the LP token on our yield products
Yield aggregator for ve-model projects
Protocol owned critical LP (veAsset — Asset LPs)
ve3d(3,3) stakers receive all protocol revenues
ve3d(3,3) natively supports delegation
Native support for adding third party tokens and incentives
Permissionless support for new veAsset integration
Permissionless support for Gauges & Bribes
Credits:
Authors : Jaqen , 2x Fisher8 Capital
Huge thanks to vfat.fools & vfat , Pickle Finance & Larry for your endless support
Curve Finance & Michael Egorov for their ve design
Andre Cronje innovative ve(3,3) model
2. CRV wars: understanding the race to accumulate power to influence Curve Finance protocol
