Summary
As part of our broader tokenomic revamp, we propose to sunset dForce liquidity mining initiatives, which includes liquidity mining activities, across all supported networks.
Background
Liquidity mining incentives were introduced to dForce on August 3, 2020, initially on the Ethereum network and later expanded to multiple networks, including Arbitrum, Optimism, Polygon, BSC, and Conflux.
The primary objective of this initiative is to onboard new users to dForce, reward participants for their contributions to dForce’s growth, and remain competitive in a landscape where numerous protocols offer attractive yields to attract and retain TVL.
As we matured, the dForce DAO proposed the dForce X Plan, which involves spinning off existing and future primitives from dForce’s DeFi ecosystem, giving them independent tokens, shared liquidity, and coordinated governance. The dForce community voted to proceed with this plan on October 5, 2023, through DIP057.
The first step in this transition is the rebranding of dForce Lending to Unitus, along with the introduction of a new token, ‘UTS,’ as outlined in DIP058. Unitus is now operational on Ethereum, Arbitrum, Optimism, BSC, Polygon, and Conflux, featuring new liquidity mining initiatives that reward lending and borrowing activities with UTS tokens.
With the launch of Unitus, lending and borrowing activities will continue to be rewarded with UTS tokens.
Motivation
In response to the launch of Unitus Finance and the UTS token, DF will sunset all liquidity mining initiatives.
In the long term, the DF token will play a crucial role in interest alignment, actively participating in the governance process and capturing value across all dForce primitives.
Specification
DF liquidity mining incentives will be sunset for:
- Vault (iUSX)
- USDC/USX pairs on DEX (Curve etc)