Multiplier and Voting Power

The voting on xyzDAO will be performed with the non-tradable vXYZ tokens. To get vXYZ, you have to stake or lock your $XYZ tokens.

Below are described 3 use cases with vXYZ and $XYZ:

1. You can lock $XYZ for vXYZ.

• You can lock $XYZ for a period of up to 1 year and get bonus vXYZ.

• The bonus is linear — max 1 year, max 2x multiplier.

Example: - lock 1,000 $XYZ for 1 year and get 2,000 vXYZ - lock 1,000 $XYZ for 6 months and get 1,500 vXYZ.

• Bonus has a linear decay relative to locking duration.

Example: lock 1,000 $XYZ for 1 year and get 2,000 vXYZ at T0 - after 6 months the balance is 1,500 vXYZ - after 9 months the balance is 1,250 vXYZ.

• You can lock and the period is the same:

  • base balance is increased with the added yXYZ

  • multiplier is recalculated relatively to the new lock expiration date

• You can only withdraw your vXYZ balance after the lock expires.

2. You can stake $XYZ for vXYZ.

• You can stake $XYZ tokens without locking them. No bonus is applied. vXYZ balance = $XYZ balance.

• You can stake more $XYZ and get the same amount of vXYZ

• You can redeem your $XYZ tokens at any time.

3. You can delegate vXYZs to other users

• You can only delegate to one person at a time.

• Only actual balance can be delegated, not a bonus.

• Delegated balance cannot be locked.

• You can take the delegated vXYZ at any time.