Announcing Efficiency DAO’s Lockdrop!
Edit Aug 25: Efficiency Dao has postponed the Lockdrop to 2022 Fall in order for better product experiences. Seeing our official announcement here at this post.
To incentivize long-term investors and community members in our ecosystem, Efficiency DAO will run a lockdrop prior to launching the protocol this September! The rewards for participating in the lockdrop will be up to 10 million EFF tokens (10% of the total supply).
Summary
- Temporarily lock BTCB, ETH, USDT, USDC, BNB, BUSD, TUSD, CAKE, and C98 for 1, 3, 6, or 12 months to receive EFF. The longer the lock duration, the greater EFF received, based on the lockdrop multipliers shown below.
- The amount of EFF allocated (up to 10% of the total EFF) will be a function of the USD Raised, with no cap on the USD value raised. See Rewards for more details.
- Continue receiving interest on deposits during the lockdrop. For example, if you deposited BUSD into Efficiency DAO and locked it for the lockdrop, you will still earn interest on the BUSD over the lockdrop period.
- EFF Rewards will be distributed shortly after the lockdrop period, proportional to the user’s size and lock duration.
- Upon reaching the claim unlock date, users can reclaim 100% of their deposit.
- Contracts are undergoing review by top-tier auditors.
What is a lockdrop?
The lockdrop is a model for incentivizing liquidity started by Commonwealth Lab on Edgeware. For more information, refer to our previous Medium Article.
In short, users of Efficiency DAO will deposit and lock capital for 1–12 months and receive the native token, EFF, as a reward. It is a high-yield, fixed-term loan that will reward the early users of Efficiency DAO.
Rewards
The target EFF quantity allocated to the lockdrop event is 10% of the total EFF (10 Million EFF). We will reward the full 10% of EFF supply assuming the TVL raised during the lockdrop reaches or exceeds $20Mn. For all lockdrop amounts raised, we will follow the below diagram.
Example Yield Calculation
💡All yields are projections, subject to change, and not a promise of actual yields.
- Suppose $EFF is valued at $0.40 and $20 million of deposits are staked during the lockdrop period, divided evenly among the time durations.
- The share of rewards will be weight adjusted by the Reward Multiplier as shown below.
What happens after the lockdrop?
Efficiency DAO will open to the public for lending and borrowing after the lockdrop. From this time, new deposits will not receive lockdrop rewards but will receive normal lending yield. Both borrowers and lenders will receive EFF as liquidity mining rewards for the early users.
Disclaimer
Participants must adhere to the terms and conditions of Efficiency DAO
