Multichain recently announced the veMULTI proposal, which means token holders who stake MULTI will receive rewards from accumulated Multichain fees. The proposal determines that except for the 10% of bridge fees set aside for the Safety Fund, 50% of the remaining 2022 Q1 bridge fees (nearly $4 million) will be distributed to veMULTI stakers in USD. MULTI staking rewards are calculated according to veMULTI. The longer (up to 4 years) and the more MULTI you stake, the more rewards MULTI you will receive.
Why did Multichain initiate the veMULTI Proposal?
Multichain (formerly Anyswap) used to offer a ‘buyback’ program, which ended last year with two rounds of ANY token buyback. The total amount of ANY burnt was 276,027.4 (160,485.25 + 115,542.15), which accounted for 20% of the bridge fees. Following the rebranding to Multichain, the governance token was converted from ANY to MULTI, and Multichain was also formally transformed into a DAO, with the DAO community having the capacity to make decisions. As seen by Telegram polls in our Multichain DAO, the veMULTI proposal was discussed and presented by a large number of community members. To foster the long-term growth of multiDAO, we launched the veMULTI proposal. Future proposals will be made through veMULTI governance voting.
How does veMULTI work?
MULTI staking and rewards will be implemented by veMULTI contract. Anyone who stakes the MULTI token will receive a NFT (veMULTI). The value and power of the NFT is decided by the staking amount and lock duration (up to four years). After the end of each quarter, the rewards will be distributed and dispersed in USD.
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With the exception of the 10% bridge fees for the purpose of the Safety Fund, 50% of the remaining bridge fees will be distributed as incentives and dispersed every quarter in USD. This proportion of bridge fees from Q1 2022 will be distributed in Q2 2022 as rewards.
Q1 Multichain bridge fees: $10,807,780.81
Q1 Multichain bridge cost (gas fee): $2,136,725.16
veMULTI Distribution: $ 3,901,975.04 ($8,671,055.65*0.9/2)
When will veMULTI officially be launched?
It will be launched in 2022 Q2, shortly after the code audit. Stay tuned, it won’t be long. Here you can find more info about veMULTI.