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Staking

Staking the $QODA token is the only way to earn $veQODA tokens. $veQODA automatically grants its holders Qoda DAO Membership, giving them the ability to vote on governance proposals that influence the future of the Qoda DAO.

The $QODA staking mechanism's objective is to incentivize long-term, on-chain liquidity provision and ownership of the $QODA token. Consequently, $QODA tokens can be staked in one of two ways:

  1. Vanilla Method: This involves depositing $QODA tokens into the $veQODA smart contract.
  2. Liquidity Provision (“LP”) Method: This involves adding liquidity to the Official Uniswap V2 $QODA/$USDC Pool, and depositing the resulting LP tokens into the $veQODA smart contract.

Support for staking other ERC-20 tokens may be offered in the future.

Stakers earn $veQODA tokens based on the amount of $QODA tokens they have staked, their staking method, and the duration of their stake.

$veQODA Token​

Vote Escrowed $QODA ("$veQODA") is a non-transferable, ERC-20-compliant token that can only be earned by staking $QODA tokens or $QODA/USDC Uniswap V2 LP tokens. Qoda DAO Membership is automatically granted to $veQODA holders. A member’s $veQODA ownership determines their fair share of governance voting power and rewards, as computed by the following formula:

X = N / S 

Where,  

X is the DAO Member's $veQODA ownership, expressed as their share of the total $veQODA supply at a specific point in time.

N is the number of $veQODA tokens owned by a DAO Member at a specific point in time.

S is the total token supply of $veQODA tokens at a specific point in time.

$QODA stakers earn $veQODA at an accrual rate that is determined by their staking method. The Vanilla Method yields 0.0001 $veQODA per one $QODA staked per one calendar day. The LP Method yields 24,000 $veQODA per one LP token staked per one calendar day. These rates are calculated to give LP-method stakers approximately 10x better $veQODA accrual than vanilla-method stakers. Calendar days conform to the Coordinated Universal Time (UTC) standard. There is no limit to $veQODA’s total token supply, nor is there a limit to how much $veQODA a staker can earn.

$QODA can be unstaked at any time from either staking method without any lock-up period. However, unstaking any amount of $QODA from either method immediately resets the staker’s $veQODA balance to zero. Then, the staker’s $veQODA balance immediately restarts its accrual at the above-mentioned rates.