We use cookies to offer a better browsing experience, analyze site traffic, personalize content, and serve targeted advertisements. By clicking accept, you consent to our privacy policy & use of cookies. (Privacy Policy)

iZUMI Finance Launches DAO and Introduces NFT Governance

Written By: Michael Abadha
Reviewed By: Alejandro Zambrano
·
Cryptocurrencies
··

Programmable liquidity mining protocol, iZUMI Finance, has today launched its DAO. The DAO launch effectively means voting on the protocol’s development will be based on quadratic voting. Specifically, veNFT will give the community voting rights. The move brings uniqueness to the platform’s governance because it will utilize NFTs instead of tokens. Furthermore, it introduces new use cases to NFTs, which could revolutionize the digital assets market.

The allocation of iZi tokens from each cycle will be based on the results of veNFT voting. For instance, 50% of the generated revenue will go towards supporting staking rewards. Importantly, staking of NFTs will provide liquidity on iZUMI’s farming pool.

 There are four main ways through which users can benefit from veiZi NFTs:

  1. They can earn by staking their veiZi for a period.
  2. There is no limit to the number of times the NFTs can be used to boost farming pools, even after staking just once.
  3. Holding veiZi reduces the number of tokens in circulation, which helps boost their value.
  4. veiZi holders can draw confidence in the NFTs because they are tradable in several NFT marketplaces.

How staking works on the platform

The platform is giving interest at an APR of up to 2.5X to incentivize staking. Also, half of the revenue will be used to repurchase iZi tokens. Depending on voting power, the tokens will then be allocated to veiZi NFTs. With NFT staked, veiZi will be used to boost iZUMi’s farming pool APR by up to 2.5 times.

Any iZUMi wallet address can generate veiZi NFTs if an investor locks iZi tokens for a specific amount of time. Third-party NFT marketplaces will also be able to sell veiZi. Users can redeem their veiZI tokens upon the expiry of the staking period, allowing them to earn their full rewards. However, if one opts to withdraw their tokens before the end of staking, they will forfeit part of their earnings.

About iZUMI Finance

iZUMI Finance is a liquidity protocol that uses programmed language to provide liquidity on Uniswap V3. It uses distributes liquidity across different price ranges in a non-homogeneous manner. This approach enhances efficiency in the distribution of rewards earnings to liquidity providers. In addition, iZUMi plans to onboard multi-chains in its liquidity service provision with built-in DEX and bridge in the future. iveiZI is iZUMI finance’s governance token.