V2 Launch and TokenSwap

The main goal of V2 launch is to enable various synthetic assets on the platform simultaneously.

Summary It’s proposed to perform a 1:1 token swap of the current KLON token on KLONX. The new token will take over the functions of governing and will be distributed in the form of farming, the old token will become useless.

– Swap to new token – Reduction of FDV – Boost model implementation (Curve-like) – New synthetic asset right after V2 launch – KUSD

Why do we need to swap KLON to KLONX? The current token model dilutes the token holders too much (primarily due to the KLON <> wBTC pool, the parameters in which cannot be changed). For decreasing this effect, we are changing the KLON token to KLONX to be able to control the pool. Control over the supply will be carried out through a vote – KLONX holders will be able to govern the emission parameters that satisfy the optimal long-term growth of the project.

How will the tokenswap be carried out? If the vote is successful, a special interface will be deployed. The contract will accept KLON tokens, lock them (send to 0x0 address), and issue a KLONX token in return. The token swap will be carried out within 4 days. Do not miss the token swap! After the tokenswap period you won’t be able to use outdated KLON tokens.

The FDV of the protocol will be reduced – 50% of KLON from the timelock contract (306250 KLON) will not be swapped and will be sent to 0x0.

The new tokenomics 101 The main changes concern refer to the work of the boardroom. The boardroom will include:

1. staking KLONX
2. staking LP Uni KLONX <> wBTC
3. locking KLONX in the boardroom and receiving veKLONX (the number of veKLONX received when locked is number of locked KLONX*Number_of_days_until_unlock)

The boardroom will distribute rewards as follows:

1. LP stakers – 5%
2. KLONX stakers – 15%
3. veKLONX holders (those who have locked KLONX) – 80%

In addition, boardroom stakers will be able to receive farming rewards:

1. LP Uni KLONX <> wBTC will receive 200 KLONX / day
2. veKLONX will receive 100KLONX / day

In this way, the protocol will reward long-term supporters, reducing their dilution due to farming. The second important point is that such a mechanic will become a protection against yield farming protocols – it will force them not to sell all that was farmed tokens.