Fei Post-Genesis
What to do and expect after Fei Protocol’s launch
Key Points 🔑:
- 🚀 Redeem Genesis tokens on the Fei interface immediately after launch
- 🔥 Trade FEI and ETH on the Fei interface to see burn/mint 💰
- 🏦 FEI-TRIBE LP staking rewards begin on Monday, April 5 @ 12:01pm PT
With the end of Fei Protocol Genesis and the subsequent protocol launch taking place on April 3rd at 12:01pm PT, there are several options for what to do and what to expect after the launch. This post will cover the details of the token redemption, exchange, and staking activities.
Redeeming
If you have or will participate in the Genesis Group, you will acquire FEI and TRIBE tokens, or only TRIBE if you pre-swap all your committed ETH. The tokens will be available to redeem immediately after the end of Genesis.
Redeem your Genesis tokens on the Genesis tab of the Fei interface.
Upon confirmation of your transaction, your wallet will receive FEI and TRIBE tokens. The FEI and TRIBE are completely liquid, so you can use them to stake or exchange on other parts of the app.
Exchanging
After Genesis, users can exchange FEI and TRIBE on any secondary market where liquidity exists. The two primary markets initiated by Fei Protocol at launch are the FEI-ETH Uniswap pool and the FEI-TRIBE Uniswap pool (Note: these pools have no liquidity until after Genesis).
Expect some volatility in both FEI and TRIBE during the price discovery process. If FEI is trading below the peg, there is a burn applied to any selling on the FEI-ETH Uniswap pool. This could cause transactions to fail on the Uniswap interface. A good rule-of-thumb to follow for the best trading experience is:
Always trade FEI for ETH and vice versa on the Fei interface to see the burn or mint applied to the trade.
The main reason to trade FEI and ETH on the Fei interface is so that you can identify and appropriately plan for any direct incentives that may apply to your trade. This could include a mint reward or a burn fee that is not visible on the Uniswap interface.
For larger holders trading TRIBE, the Uniswap interface will not display FEI-TRIBE incentivized liquidity for multi-hop trades. Users who are going to do a particularly large TRIBE trade would benefit from the extra liquidity by first swapping for FEI then to the desired asset. For smaller trades, the gas impact of two separate transactions will outweigh any price impact benefits, so it is best to swap directly between the two desired assets.
Also when swapping FEI-TRIBE, be sure to disable multi-hop trading to avoid routing through an incentivized pair. Re-enable multi-hop after the trade to continue benefiting from multiple pool liquidity for normal trades.
Staking
Starting on Monday, April 5 at 12:01pm PT, users can begin staking to earn TRIBE. The staked tokens are FEI-TRIBE Uniswap LP tokens, which you can get by adding liquidity to the pool (Note: This will be available after Genesis ends). These tokens represent a pro-rata ownership in the liquidity pool that allows users to swap FEI and TRIBE.
The TRIBE rewards are distributed as follows:
- 10% of the total TRIBE supply
- Distributed over 2 years
- Reward rate decreases linearly each week
- Split evenly to all stakers proportional to amount staked
- Completely fluid (no lockups)
Participating in the staking pool is a great way to improve FEI-TRIBE liquidity as well as earn additional TRIBE rewards and the associated governance share. The time locked liquidity from the FEI-TRIBE initial DEX offering owned by Fei Labs is not eligible for staking rewards.
