OPtimistic Winter: Introducing our 70,000 OP tokens worth campaign for wstETH on Optimism!
Breaking news: dForce is among the recipients of the Season 6 Cycle 29 Intent 3A Grant from the Optimism Foundation! Our ecosystem will receive 70,000 OP tokens that will be entirely used to conduct a new incentive campaign to encourage deposits of Lido’s bridged wrapped staked Ether (wstETH) on Optimism.
By taking part in this campaign, you can maximize your earnings while supporting the growth of Optimism’s DeFi ecosystem. Curious to learn all the details? Then keep reading!
Key Details
- Total Incentive Pool: 70,000 $OP tokens.
- Period: Thursday, December 19, 2024, at 8:00 AM UTC, until Thursday, March 13, 2025.
- Incentives are distributed among:
- Users who deposit wstETH into Unitus (borrowing stablecoin will be further incentivized with UTS token) on Optimism.
- Users who use the recepit token of their wstETH deposit on Unitus (iwstETH) to mint USX on the dedicated vault.
About wstETH
wstETH is like a “savings certificate” for Ethereum (ETH) that you’ve staked through Lido Finance to earn rewards.
Here’s how it works: When you stake ETH on Lido Finance, you get stETH, which slowly grows in value as staking rewards are added. Since most DeFi apps don’t like tokens that keep changing value, you can wrap your stETH into wstETH, which doesn’t grow in number but instead represents your share of the staked ETH pool (including rewards). Over time, each wstETH becomes worth more ETH because of those rewards.
If you hold wstETH on Ethereum, you need to bridge your tokens over to Optimism using one of their official bridges which you can browse here https://app.optimism.io/bridge/deposit to be eligible for the campaign. Done? Awesome, let’s dig in the details of the campaign now!
How to Participate
Here’s a step-by-step guide on how you can earn OP rewards:
1. Bridge your wstETH to Optimism:
Bridge your wstETH to Optimism using one of the offical Optimism bridges available at https://app.optimism.io/bridge/deposit. Please note that only wstETH bridged after December 16th are eligible to accumulate $OP rewards.
2. Deposit wstETH into Unitus on Optimism:
Deposit wstETH into the Lending protocol Unitus (https://app.unitus.finance/) on Optimism to receive OP rewards.
Additionally, if you borrow USX against your wstETH, you’ll receive further incentives in UTS, the governance token for Unitus. This dual-incentive structure allows users to gain both OP and UTS rewards.
3. Leverage the iwstETH Receipt Token to Mint USX on dForce’s Dedicated Vault:
After depositing your wstETH on Unitus, you’ll automatically receive a receipt token known as iwstETH. This token can be used to mint the decentralized stablecoin USX through the dedicated vault on the USX dApp (https://app.usx.finance/#/Liquidity). USX can in turn be used for a variety of yield farming activities. By completing this step, you not only enhance your liquidity but also contribute to a more diversified DeFi ecosystem on Optimism.
Why is this campaign so powerful?
As the Permissionless Liquidity Network, our priority at dForce is Liquidity! Each dollar of wstETH brought on the dForce ecosystem on Optimism can be leveraged multiple times through all the steps of the campaign to maintain liquidity that can be reinvested or further utilized within the DeFi ecosystem, thereby stretching the utility of your capital. And all of this is conducted in a safe environment workinfg since 2019 and audited by the most reputable names in the industry.
Token Distribution Plan
A total of 70,000 $OP tokens will be allocated across two primary initiatives: incentivizing wstETH deposits on Unitus and encouraging USX borrowing.
- Unitus: 28,000 $OP tokens (40%) for incentivizing wstETH deposits.
- USX: 42,000 $OP tokens (60%) to encourage borrowing of USX stablecoins against iwstETH collateral.
This distribution is spread out over the two phases:
- Weeks 1–4: 23,333 $OP tokens distributed.
- Weeks 5–12: 46,667 $OP tokens distributed.
Please note that OP rewards will be distributed on a biweekly basis directly to participants’ wallets on Optimism.
Conclusion
This new 70,000 OP incentive campaign on Optimism is an unmissable opportunity for DeFi users looking to enhance their returns while participating in an innovative and high-efficiency liquidity system. dForce’s dedication to providing a safe and highly efficient environment for capital management means you can join with confidence, knowing that each dollar will be maximized to the extreme. Take part in this initiative, contribute to the DeFi revolution, and make your assets work smarter, on Optimism!
