From real yield protocol fee sharing to boosted vault rewards, $VKA has it all covered. But hold on tight because there’s more! Now, users wield the power to cast their votes using staked $VKA and $esVKA, influencing $esVKA emission for strategic and lending vaults. This empowers you to shape vault selections, boosting $esVKA rewards alongside actual yields from these strategic vaults!
Details
- Start Date: 22nd November, 08:00 am UTC
- Voting Period: Starting every Wednesday, each voting epoch lasts 2 weeks. The first epoch will conclude on 6th December at 08:00 am UTC.
- $esVKA Emission Rate Refresh: Scheduled for every bi-weekly Wednesday at 08:05 am UTC.
How do Voting Gauges work?
The Voting Gauge empowers $VKA and $esVKA stakers with governance control over $esVKA emissions for each gauge. These gauges represent various vaults or pools, such as the GM Leverage (Neutral) vault and the USDC lending pools.
Increased votes allocated to a pool directly correlate to higher $esVKA emissions for that pool. Consequently, this boosts the APR, making it more appealing for liquidity provision. As a result, pools with higher votes receive enhanced incentives, drawing in increased liquidity.
What Benefit does it bring to $VKA stakers?
Amplifying $esVKA
By staking $VKA tokens, users gain increased voting power, influencing esVKA emission. This higher emission boosts $esVKA accumulation in pools benefiting the user. Consequently, it generates additional $esVKA rewards and amplifies voting power in subsequent rounds, establishing a continuous and advantageous loop for users.
Receiving Extra Bribing Rewards
When users cast votes for particular token pools, partnering protocols can provide bribing rewards as an extra incentive. These rewards entice users to vote for a particular pool, leading to higher rewards and liquidity deposited. This enables users to earn an extra reward alongside $VKA staking rewards through active participation in protocol governance.
Expanding Governance Possibilities
The implementation of the voting gauges paves the way for additional protocol governance features, extending greater utilities and control to $VKA holders. This augmentation enhances the value proposition of $VKA tokens, amplifying their significance within the ecosystem.
$VKA War
Vaultka, as a liquidity hub for Arbitrum’s Perp DEX LP, holds substantial influence over liquidity in the Perp DEX ecosystem. Its prominence offers emerging protocols an avenue to bootstrap liquidity by purchasing and staking $VKA, accruing voting power to direct esVKA emission and attract more liquidity. It is notably more cost-effective than launching their own liquidity programs, by leveraging Vaultka’s impact, thus having a strong incentive to hold $VKA tokens.
This sets the stage for a potential $VKA war, akin to the Curve War observed with protocols like Convex and Yearn Finance competing for control of $CRV token emission. Emerging Perp DEX platforms can fight for $VKA tokens, aiming to capitalize on Vaultka’s exposure, and enhance liquidity growth.
Mechanism
- Each staked $VKA or $esVKA token grants 1 voting power
- Votes are cast by adjusting percentage allocations to each pool
- Users can always change their vote before the epoch ends by re-casting
- Once votes are cast, a projected esVKA APR for each vault will be showcased, reflecting the aggregated pool of cast votes
- Bribe rewards will be distributed proportionate to their cast votes
- The bribery rewards will be claimable one week after each epoch concludes on the Airdrop page
** Users do not have to recast their vote even if their staked $VKA balance changed, the protocol will automatically record the updated balance at the snapshot date
First Epoch Bribing: $GMX and $USDC
Get ready to make your voice count! The bribery reward for the first epoch will be a $5,000 bonus in $GMX and $USDC. This reward targets the new GM Leverage (Neutral) vault and its associated Lending pools. Your votes hold the key to both shaping the future and unlocking these rewards. Take action now, cast your votes, and claim your share of this enticing bounty!
