Governance Proposal #5 Recap
Dear #CrystalCrew! With the latest Governance Proposal #5 voting period coming to a close, its time to review the outcome and understand what’s ahead for Crystl Finance!
For full transparency, feel free to view the voting results yourself over here.
Move To A Protocol Owned Liquidity Model
- 99.77% (511.25K $CRYSTL) — Option A: Use the remaining $CRYSTL emissions to fund on-demand bonding for $CRYSTL-$CRO under the DeFi 2.0 protocol owned liquidity model based on Olympus DAO.
- 0.23% (1.17K $CRYSTL) — Option B: Do not use the remaining $CRYSTL emissions for bonding protocol owned liquidity.
Option A wins as the majority vote with 99.77% of participating $CRYSTL holders in favor of moving to a protocol owned liquidity model and using the remaining token emissions to fund $CRYSTL-$CRO bonding.
The passing of this proposal means that Crystl Finance is now being set up to allow us to build deeper liquidity, and ensure the sustainability of our protocol in the long run. By accumulating protocol owned liquidity it will be possible for $CRYSTL to have favorable conditions to appreciate in value. With deeper liquidity, investors will be able to purchase or sell our token with minimal price slippage. Given that revenue sharing is also going to be implemented in January to incentivize $CRYSTL-$CRO LP providers, these two forces will serve to strengthen the longevity of Crystl Finance!
Consequences & Expectations
Team Focus: Now that the community is aligned to move to a protocol owned liquidity model, our team will focus efforts on multiple fronts to make this change a reality. This includes forking the OlympusDAO bonding system, adapting it for $CRYSTL-$CRO LP & the $CRYSTL token, as well as designing & implementing the UX/UI to allow the #CrystalCrew to interact with our application to bond said LP for $CRYSTL.
Stopping Emissions: $CRYSTL emissions on Polygon will be discontinued in January 2022, which means that the following staking options on Polygon will be deprecated:
- Auto/Manual $CRYSTL Pools which reward with $CRYSTL
- All $CRYSTL Mines which reward LP providers with $CRYSTL
The exact date for when emissions will be discontinued will be communicated in the coming weeks.
Polygon Liquidity: Since emissions are coming to an end in January, we will need an alternative source of incentives to reward liquidity providers & encourage a healthy amount of liquidity on Polygon. Providers that prefer to keep their $CRYSTL-$MATIC LP may continue to do so and use the options below to continue to accumulate interest. The following staking options will be made available on Polygon in time for when the emissions are discontinued:
- ApeSwap Farm (Polygon):
Stake $CRYSTL-$MATIC → earn $BANANA + $CRYSTL
- Crystl Vault (Polygon):
Stake & auto-compound $CRYSTL-$MATIC using the above farm
Cronos Liquidity: Other providers may consider to disband LP on Polygon and create LP for one of the $CRYSTL-$CRO farms or Crystl Vaults on Cronos chain:
- Crodex LP $CRYSTL-$CRO: Farm | Vault
- ChronoSwap LP $CRYSTL-$CRO: Farm | Vault
- CronaSwap LP $CRYSTL-$CRO: Farm | Vault
Mining Guild: Furthermore, the Mining Guild to receive revenue sharing dividends from the performance fees of Crystl Vaults on Cronos will also be made available in January and this will serve as the main utility for the $CRYSTL token going forward:
- Manual Dividends: Stake $CRYSTL-$CRO → earn $CRO dividends
- Auto Dividends: Stake & auto-compound $CRYSTL-$CRO using the above dividends
The $CRYSTL token may be bridged from Polygon to Cronos using the Relaychain.com bridge.