Dear Lucidao Community,
We are excited to introduce a new proposal aimed at strengthening our ecosystem through the launch of a new single staking feature and the continuation of liquidity incentives. This proposal seeks to officially present the LCD single staking functionality and to unlock LCD tokens from the DAO treasury to fund it, as well as to cover three additional months of liquidity incentives and allocate tokens for reward programs.
Proposal Details
Single Staking Feature
We are thrilled to introduce a new single staking functionality designed to enhance user experience and provide additional benefits to our community members. This feature will significantly tie LCD with the overall Lucidao and Altr ecosystem of dApps and features, offering extensive incentives, benefits, and perks across all platforms. (For example, by staking LCD, users will enjoy enhanced odds in upcoming Altr on-chain raffles, increasing their chances of winning significantly👀)
Key Features
- Staking Rewards: Users will earn a base APR of 3.5% on their staked tokens with the potential for boosted rewards by staking for longer periods.
- Staking Cap: The staking pool will be capped at 50 million LCD tokens ensuring a calculated reward distribution.
- Boost Tiers: The APR will increase based on the length of time tokens are staked with specific multipliers for 1+ month, 3+ months, 6+ months, and 12+ months.
- Exclusive Benefits: Stakers can unlock platform bonuses and perks, such as enhanced raffle odds, higher loan-to-value ratios for borrowers, and other platform-specific bonuses.
LCD Staking in Depth
| Key Parameters | |
|---|---|
| Fixed base apr | 3.50% |
| Staking pool capped | 50,000,000 |
| Max yearly LCD distribution | 2,800,000 |
| Consecutive staking period (no need to lock) | Boost | Apr |
|---|---|---|
| 1 month | x1.1 | 3.85% |
| 3 months | x1.2 | 4.20% |
| 6 months | x1.4 | 4.90% |
| 12 months | x1.6 | 5.60% |
| Min amount of LCD needed to access time based boosts | 25,000 |
Staking Benefits Across Platform Functionalities
| Raffles - winning odds boost | 25-75k | 75-150k | 150-400k | 400k+ | Time based boost |
|---|---|---|---|---|---|
| 0 months | 15.00% | 20.00% | 25.00% | 30.00% | NA |
| 1 month | 16.50% | 22.00% | 27.50% | 33.00% | x1.1 |
| 3 months | 18.00% | 24.00% | 30.00% | 36.00% | x1.2 |
| 6 months | 21.00% | 28.00% | 35.00% | 42.00% | x1.4 |
| 12 months | 24.00% | 32.00% | 40.00% | 48.00% | x1.6 |
| lend.altr.trade - borrowers rebate on APR | 25-75k | 75-150k | 150-400k | 400k+ | Time based boost |
|---|---|---|---|---|---|
| 0 months | 5.00% | 10.00% | 15.00% | 20.00% | NA |
| 1 month | 5.50% | 11.00% | 16.50% | 22.00% | x1.1 |
| 3 months | 6.00% | 12.00% | 18.00% | 24.00% | x1.2 |
| 6 months | 7.00% | 14.00% | 21.00% | 28.00% | x1.4 |
| 12 months | 8.00% | 16.00% | 24.00% | 32.00% | x1.6 |
| lend.altr.trade - borrowers LTV increase | 25-75k | 75-150k | 150-400k | 400k+ | Time based boost |
|---|---|---|---|---|---|
| 0 months | 2.00% | 3.00% | 4.00% | 5.00% | NA |
| 1 month | 2.20% | 3.30% | 4.40% | 5.50% | x1.1 |
| 3 months | 2.40% | 3.60% | 4.80% | 6.00% | x1.2 |
| 6 months | 2.80% | 4.20% | 5.60% | 7.00% | x1.4 |
| 12 months | 3.20% | 4.80% | 6.40% | 8.00% | x1.6 |
| lend.altr.trade - lenders apy boost | 25-75k | 75-150k | 150-400k | 400k+ | Time based boost |
|---|---|---|---|---|---|
| 0 months | 1.00% | 2.00% | 3.00% | 4.00% | NA |
| 1 month | 1.10% | 2.20% | 3.30% | 4.40% | x1.1 |
| 3 months | 1.20% | 2.40% | 3.60% | 4.80% | x1.2 |
| 6 months | 1.40% | 2.80% | 4.20% | 5.60% | x1.4 |
| 12 months | 1.60% | 3.20% | 4.80% | 6.40% | x1.6 |
| lend.altr.trade - auction liquidation fees discount | 25-75k | 75-150k | 150-400k | 400k+ | Time based boost |
|---|---|---|---|---|---|
| 0 months | 8.00% | 16.00% | 24.00% | 32.00% | NA |
| 1 month | 8.80% | 17.60% | 26.40% | 35.20% | x1.1 |
| 3 months | 9.60% | 19.20% | 28.80% | 38.40% | x1.2 |
| 6 months | 11.20% | 22.40% | 33.60% | 44.80% | x1.4 |
| 12 months | 12.80% | 25.60% | 38.40% | 51.20% | x1.6 |
| Marketplace - fees discount | 25-75k | 75-150k | 150-400k | 400k+ | Time based boost |
|---|---|---|---|---|---|
| 0 months | 8.00% | 16.00% | 24.00% | 32.00% | NA |
| 1 month | 8.80% | 17.60% | 26.40% | 35.20% | x1.1 |
| 3 months | 9.60% | 19.20% | 28.80% | 38.40% | x1.2 |
| 6 months | 11.20% | 22.40% | 33.60% | 44.80% | x1.4 |
| 12 months | 12.80% | 25.60% | 38.40% | 51.20% | x1.6 |
Token Allocation for Staking
To support the launch and sustain the staking rewards, we propose an allocation of 3 million LCD tokens for one year. This allocation aligns with our strategy to incentivize long-term engagement and commitment from our community members.
Liquidity Incentives
To maintain and enhance liquidity on our platforms, we propose the allocation of 10 million LCD tokens for liquidity incentives over the next three months. This initiative will ensure that our liquidity providers (LPs) continue to be rewarded for their contributions, supporting the stability and efficiency of our trading pairs on both Quickswap and Uniswap.
Community and Team Initiatives
To further support our community and internal team efforts, we propose the allocation of 4.5 million LCD tokens. These tokens will be used for team rewards, bounty programs, community incentives, social activities, and other initiatives aimed at strengthening our ecosystem.
Implementation Plan
- Single Staking Launch: roll out the staking feature on Lucidao Governance with detailed guides and support to help users maximise their staking benefits.
- Liquidity Incentives: continue with the current distribution model, ensuring that LPs on Quickswap and Uniswap receive timely rewards.
- Community and Team Initiatives: continue allocating tokens for team rewards, bounty programs, community incentives, and social activities, fostering a vibrant and active ecosystem.
Conclusion
This proposal represents a significant step in enhancing the Lucidao ecosystem, rewarding our dedicated community members, and ensuring the stability and growth of our platform. By officially presenting the LCD single staking functionality and unlocking the necessary tokens from the DAO treasury, we can continue to build a vibrant and engaged community. Staking LCD will grant substantial benefits across the Lucidao and Altr ecosystem, enhancing user experience and participation.
Connect your wallet and delegate your tokens on https://governance.lucidao.com. You will be able to delegate your LCD balance during the next 12 hours.
Let’s continue to collaborate and build a stronger Lucidao together.
Sincerely,
The Lucidao Core Team