TL; DR:
- 99.72% of QUICK holders recently voted to have QuickSwap pay liquidity mining rewards in dQUICK instead of QUICK
- This change will impact all of QuickSwap’s liquidity providers, stakers, and token holders in several ways
- QuickSwap will begin paying liquidity mining rewards in dQUICK on Wednesday, September 29th (update: we’ve postponed this date one week until Wednesday, October 6th for security reasons)
Last month, we asked all dragonites to vote on whether QuickSwap should pay liquidity mining rewards in dQUICK to help reduce some of the sell pressure on QuickSwap’s native governance and utility token. An overwhelming majority of 99.72% voted in favor of the proposal.
When dragon’s roar, we listen! So starting on Wednesday, September 29th, (now October 6th) QuickSwap will begin paying all liquidity mining rewards in dQUICK.
UPDATE: After publishing this article, we realized that we (and our integrated protocols) need an additional week to complete our integration and testing to ensure that everything is working properly. We hope you’ll support us delaying this innovation for one week to certify the safety of your treasure hoards.
What does that mean for me?
We’re confident that this change will have a positive impact; however, we also want to ensure that our community members are aware of exactly how this change will impact them.
- First and foremost, because we’ll be implementing entirely new staking contracts, all liquidity providers will need to unstake and restake their LP tokens to continue earning rewards.
- Once the new contracts are deployed, $QUICK earned from providing liquidity will be automatically staked to begin earning interest.
- With an increased percent of QUICK’s circulating supply staked in the Dragon’s Lair, APYs are likely to fluctuate more than ever before.
- Those who chose to will still be able to withdraw their earnings and deposit them in compound pools or cash them out to take profits.
- We believe (and based on the overwhelming response from our governance vote, the community seems to agree) that changing the default starting point to a staked position — where holders are earning interest from trading fees — will likely decrease the sell pressure on the token.
- As a result, $QUICK’s value may become less volatile.
What’s next?
If you’re a QuickSwap liquidity provider who wasn’t previously staking QUICK, you might want to consider changing that. With the recent introduction of Dragon’s Syrup — QUICK stakers can now earn additional yield by staking their dQUICK (Quick’s staked representative token) to farm extra rewards from participating projects that are traded on the DEX with no risk to the interest they’re already earning from staking.
For liquidity providers, we’ll deliver a comprehensive tutorial on everything you need to do to continue earning LP mining rewards before the changes go live. Fear not!
Stay Tuned Dragonites
With all the exciting recent news that’s been coming out about QuickSwap, Polygon’s biggest DEX isn’t slowing down anytime soon! Stay tuned for more electrifying news about what QuickSwap has in store next.
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By QuickSwap Official on September 15, 2021.
Exported from Medium on May 2, 2023.