Equilibrium will ship their new governance token to the Polkadot neighborhood, incentivizing holders to participate in a token swap that may open the cross-chain DeFi platform’s rich choices to a superb wider particular person base.
Equilibrium, the crew behind the most important EOS-based stablecoin, is saying that its governance token NUT (Native Utility Token) shall be extended to their simply currently launched Polkadot primarily based platform by means of an non-obligatory token swap. The token swap will incentivize current clients to take a look at the model new Polkadot-based platform and may occur on August 31st and run for 30 days, ending on September 29th.
Being a participant of the Substrate Builders Program (this technique launched by Parity, the occasion agency behind Web3 and Polkadot, to help the best teams setting up on Substrate in Enterprise Enchancment, Promoting and advertising and marketing and Technical Assist), Equilibrium will work rigorously with Polkadot to enhance/develop the ecosystem whereas creating the entire DeFi enterprise as a whole by offering pooled lending, synthetic asset administration, and leveraged shopping for and promoting to the purchasers of BTC, ETH, BNB, XTZ, and so forth.
To facilitate the tokenomics of the model new platform, EQ token is launched as a result of the core asset of the Equilibrium. EQ token permits decentralized governance of Equilibrium, it is used all by way of the system for product costs, bailsmen rewards, and transaction costs on the Equilibrium substrate.
The EQ tokens provides the subsequent important utilities:
Transaction and Product costs – Clients pay transaction costs and product costs in EQ tokens inside Equilibrium blockchain.
Staking and Governance – EQ holders will get hold of rewards coming from token inflation on EQ tokens staked to Equilibrium’s governance when Equilibrium migrates to NPoS consensus in response to its roadmap to decentralization. Projected inflation shall be spherical 2.5% a yr.
Bail liquidity provisioning – Liquidity suppliers can earn yield in EQ tokens on securing loans throughout the system by locking Property along with EQ tokens in Equilibrium’s liquidity pool.
Compared with NUT, EQ brings additional utilities to the holders all through all parts.
Equilibrium’s Trendy swapping mechanism
With the general present of 120,000,000 EQ tokens, Equilibrium is allocating 25% of the general EQ present for a NUT swap.
All through the primary 5 days of the Swap, retail NUT holders can have the power to commerce their tokens for the model new Equilibrium utility token (EQ) at a value of 1 NUT to 100 EQ. After the preliminary 5 days, the swap value will progressively decrease, lastly reaching 1:75 after 25 days. The swap will end after 30 days.
After that, every the NUT token (EOS) and EQ token (Polkadot) will co-exist in parallel, as Equilibrium will allow clients of every the EOS and Polkadot ecosystems to reap the advantages of the platform’s core choices, bringing far more cross-chain efficiency to the DeFi space.
Preliminary Parachain Decisions (IPO)
Further Equilibrium plans EQ distribution though the Preliminary Parachain Offering (IPO) that may occur in Q1 2021.
All through the parachain public sale, Polkadot’s token holders shall be offered to lock their DOT’s to bid for a slot in commerce to EQ tokens that shall be distributed as rewards to DOT householders who participated throughout the IPO by locking their DOT for a two-year interval.