We have made remarkable progress on the roadmap, and are excited to share these highlights with you!
- A decentralized lending platform for vUSD and vETH
- Significant Gov Vault v2 upgrade
- YFV/VALUE swap deadline voting
- Value Liquid Phase 3.5 “Farms as a Service” and a new partnership
- Value Vault Beta completion
vUSD/vETH Use Case
Initially, vUSD/vETH was planned as an elastic supply experiment, or rebase coin, using one tenth of the treasury fund to support price with VALUE for each positive rebase.
When the protocol evolved to become a full-suite DeFi ecosystem, we wanted to repurpose vUSD/vETH to a more elegant purpose that benefits the community and ensures that it is more mission-driven. This concept is inspired by one of our community members, @Whose Forgotten, who shared his thoughts in this article.
Today, we are announcing the creation of a decentralized lending platform that uses our Liquid DEX technology as its foundation and vUSD/vETH as its base currency.
Due to the scope of this announcement, further details about this new vUSD/vETH platform will be revealed in a separate article.
Given this new direction, we believe that giving further vUSD/vETH incentives to governance vault holders is no longer relevant, and as such have halted emissions. However, the community may vote to add back these incentives.
Governance Vault v2
- Profit from farming strategies will be auto-compounded
- Locking VALUE in the vault for an extra period of time will boost VALUE yield
- Introducing gvValue token:
When you deposit VALUE to the governance vault, gvVALUE will be generated and issued to you. At the beginning 1 gvVALUE = 1 VALUE. When the vault makes profit in VALUE and its profit returns to the vault, the number of VALUE in the vault increases while the amount of gvVALUE remains unchanged. As such, gvVALUE can be exchanged for more VALUE. For those familiar, this is the same mechanism as yaLINK.
- Governance Vault v2 will support multiple farming strategies as well as our state-of-the-art farming innovation
- The current Gov Vault receives 0.2 VALUE per block as extra incentives for VALUE staking alongside the 6.7% profit from vaults and 0.05% trading fee from Value Liquid. This is about 9200 VALUE rewarded weekly for governance vault holders (in comparison, harvest.finance emits about 2600 FARM weekly to their FARM staking pool with a 5% weekly emission cut). With this current rate, we will exhaust VALUE emission for the Gov Vault in about 140 days. Since the certain community members prefer a higher APR for the Gov Vault, we can increase these emissions if that becomes the majority opinion. As a consequence, the emission period will be shortened. We look forward to community discussion and voting.
Initially we had set no deadline for the YFV-VALUE transition. However, after receiving much feedback from the community regarding the present confusion of two tokens co-existing alongside the disorganization from CEXs that still insist on listing YFV despite our recommendations, we will halt our official support for YFV:
- On 17-Oct-2020, we will create a new vote for the community to choose a deadline to end support of YFV from the ValueDeFi ecosystem.
- After that date, we will not support wrapping YFV<->VALUE
- The seed pool that is emitting 31.5k YFV weekly will be closed on the transition date voted by the community, effectively locking the funds of farmers who do not exit before the deadline. People who miss the deadline will have the opportunity to retrieve their funds after 3–6 months (subject to community voting).
Value Liquid Phase 3.5
Phase 3.5 will serve as one of our most advanced and significant achievements in the DeFi space, ValueDefi will stand out as a Farms as a Service (FaaS) solution for all liquidity mining programs with these improvements:
- Internal proxy of Balancer will be replaced by an external router (like Uniswap), which could result in up to 70% cheaper gas fees for users.
- Users will have the ability to create farming pools from a simple frontend UI, meaning LPs of the farming pool will receive farming token emissions immediately after providing the liquidity to the pool.
To prepare for the launch of Value Liquid phase 3.5, we hereby announce our partnership with the Sentivate project to launch the first liquidity mining program using the one-click solution of Value Liquid technology. Sentivate will distribute 500 millions SNTVT token (which are currently worth $2.5M) using Value Liquid technology in the next 8–16 weeks. Chosen pools are WETH/SNTVT with 98/2 ratio and VALUE/SNTVT with 50/50 ratio. Details of the program will be announced shortly.
We will also hold a vote for a new fee for VALUE holders instead of 0.05% from Value Liquid (currently 1/6 of current swap fee).
Value Vaults Set to Exit Beta
We are now confident in our vault technology. With more positive audits from big security firms are coming, we are removing the $10M cap on our current vaults to satisfy the demands of our farmers. With our multi-strategy implementation, depositors will have access to the latest yield-generating opportunities on the market.
We will also hold a vote for a new fee instead of the current 6.7% performance fee goes to VALUE holders. In comparison, other projects take a 10–30% performance fee while having a lower profit than Value Vaults. As always, these performance fees are for the benefit of VALUE holders.
Upcoming Vote Summary:
(1) Adding vUSD/vETH to governance vault v2
(2) Increasing governance vault v2 VALUE reward (it will shorten the emission period)
(3) Deadline for YFV/VALUE swap and ending seed pool v2
(4) New fee structure to VALUE governance vault holders from Value Liquid (currently at ⅙ of swap fee)
(5) New fee to VALUE governance vault holders from Value Vaults (currently at 6.7% of profit)