Sunsetting the DFract Protocol (Beta Version)
Important notice for $DFR Holders
DFract, the first Interchain yield earning index, has been launched in Beta version last year. Given the challenging market conditions, it did not attract enough liquidity and will therefore be discontinued.
What does it mean for $DFR holders?
At the end of the sunsetting process, each $DFR holder will automatically receive their share of the Protocol-Owned-Liquidity (POL) in $USDC.axl. The amount will then be visible on the DFract Web Application.
Key Steps
Please follow the Discord for the announcements and the operation of the key steps of the DFract sunsetting.
TL;DR 📚
- October 18th: Unbonding Period Begins
- Remove deposit feature from the DFract Web Application
- Tokens of the protocol start the unbonding period - October 26th: Upgrade on the Lum Network
- Closing deposits on-chain
- Snapshot of the Treasury
- Burn of $DFR - October 31st up to November 21st: Token Sell Period
- Gradual sale of tokens to redistribute the protocol treasury - November 22nd: Protocol Treasury Distribution
- Distribution of the protocol treasury to $DFR holders
Unbonding Period Begins
The DFract protocol will proceed to unbond all the staked assets of the POL starting October 18th.
The tokens owned by the protocol are the following ones:
Cosmos Hub ($ATOM), Osmosis ($OSMO), Juno ($JUNO), Evmos ($EVMOS), Lum Network ($LUM), Comdex ($CMDX), Stargaze ($STARS), Akash ($AKT), Sentinel ($DVPN), Ki ($XKI)
Upgrade on the Lum Network
- Deposit closed: the protocol will no longer accept new deposits.
- Snapshot of DFract Treasury
- Burn all $DFR in user wallets: users will always see their balance on the DFract Web Application via the snapshot established.
Token Sell Period
Between October 31st and November 21st, the DFract protocol will sell the tokens on Osmosis against $USDC.axl. To ensure a smooth process, prevent sell pressure, mitigate shortages, and preserve pool liquidity, the tokens will be gradually sold on the market. The exact dates won’t be disclosed to safeguard the integrity of the sell-off process.
Protocol Treasury Distribution
On November 22nd, each $DFR holder will receive their $USDC.axl (proportionate to their share of the POL) on the DFract Web Application to their LUM address.
We strongly recommend for users to move it before the end of May 2024 the received $USDC.axl back to Osmosis via the DFract Application.
After the end of May 2024, we cannot ensure that the web application will remain available which may make the withdrawal process harder for non-technical users since they will likely need to use another tool to do so (e.g: transfer from Lum Network to Osmosis)
Our Commitment
Rest assured, we remain committed to the vision of mass adoption, with the focus unwavering on the continued growth of Cosmos Millions, the prize-linked savings accounts for the Interchain built on the Lum Network.
