Executive Summary

We present a comprehensive three-part proposal aimed at migrating KuSwap's Decentralized Exchange (DEX) to v3. These upgrades will firmly position KuSwap at the cutting edge of DeFi technology, driving the next wave of innovation and growth.

This proposal is split into:

• Part 1: Protocol Improvements (PASSED)
• Part 2: Tokenomics Enhancements (PASSED)
• Part 3: Migration Strategy

Please note: No modifications will be enacted until all three sections of this proposal have been meticulously deliberated upon and have successfully navigated the voting process.

PART 3: Migration Strategy

This governance proposal outlines the migration strategy for KuSwap v3, emphasizing the importance of transparency and providing clear instructions for KuSwappers to join the migration and maximize their benefits.

Objectives:

1. Allow KUSGOV holders to receive a new KUS token allocation equivalent to the original KUS tokens locked for obtaining their KUSGOV.
2. Reward KUSGOV holders with bonus tokens proportionate to the duration of their token lock-in.
3. Encourage early migration for KUS holders by offering bonuses.
4. Provide additional incentives to KUS LP Providers for early migration.
5. Stimulate community activity and reward active information campaign participants post-proposal approval.

A. General Mechanics

• We will announce the migration period after the third proposal is passed.
• The migration period will last for 30 days*
• The start of the migration period is the MIGRATION START.
• The end of the migration period is the MIGRATION DEADLINE.
• We will take a snapshot of KUS and KUSGOV Holders at the MIGRATION START and MIGRATION DEADLINE.
• All new KUS tokens will be distributed at the same time after the migration period ends.
• Users who miss the migration period will still be able to migrate but they will not be able to get any bonuses.

B. For KUSGOV Holders

• Any KUSGOV minted after the migration period is announced will not be eligible for the migration.
• Any KUSGOV minted before the migration period announcement can be migrated.
• KUSGOV holders MUST unstake their KUSGOV and put it into the KUSGOV migration contract to be part of the migration.
• KUSGOV Holders will get new KUS tokens equal to the amount of KUS they locked to get that KUSGOV.
• The amount of bonus tokens each KUSGOV holder will get depends on how much KUS they locked for KUSGOV and for how long.
• If a KUSGOV holder misses the migration period, they can still convert their KUSGOV but won’t get bonus tokens.

C. For KUS Holders

• We will provide a contract for KUS token conversion.
• All KUS deposited this way will get 1:1 new KUS tokens.
• KUS tokens deposited during the migration period will get bonus KUS tokens from 48 hours after MIGRATION START until the MIGRATION DEADLINE.
• Those who miss the migration period can still convert their KUS tokens into new KUS tokens at any time but they won’t get any bonuses.

D. For Liquidity Pool (LP) Providers

• At the Migration Start, the migration page will have a button to move over the Liquidity Pool tokens.
• Migrating the Liquidity Pools will move them over to KuSwap v3.
• It’s important to migrate LP’s as soon as possible to get the most Early KUS LPs bonus tokens.
• Early KUS LPs Bonus tokens: A total of 553,800 KUS will be farmed by those who deposit LP tokens in an LP farming contract on v3.
• Existing liquidity providers will have an automatic migration option.

E. For KUSFOX AND KUSFOXES Holders

• The migration for KUSFOX and KUSFOXES holders will be discussed in a separate proposal to make it more transparent and discussed thoroughly and to incorporate more community ideas. This will be done after the v3 migration on a proposal for "KUS Warriors"

F. Migration Community Activities

• We’ll host contests and giveaways for the community to celebrate the migration, with rewards based on a points system that acknowledges the contributions of KuSwappers. More details will be unveiled post the approval of the 3rd proposal.

Do you agree with the proposed migration strategy?