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PCP Campaign
Back to Peg campaign tool explained!
This is a special incentivized extinction pool that is meant to aid the campaign towards peg. It is a multi-token rewards pool that will only be activated based on FW Team discretion when below 1.01 TWAP.
You can think of this pool as a way better version of bonds, since it not only controls circulating supply but also applies buy pressure on $WLRS with every deposit.
- You deposit any amount of USDC.e to the pool
- Upon depositing 50% of the USDC.e is used to purchase WLRS
- You gain yield in WSHARE and USDC.e while you wait with a dynamic APR based on total amount funding the reward pool
- You can withdraw any time but may incur taxes based on the TWAP (see graph below)
- Deposits are disabled at 1.01 TWAP, no rewards are earned after 1.01 TWAP
- Upon withdraw the 50% of USDC.e and WLRS are made into LP. Any excess WLRS from forming LP will be sent to the Treasury. It's also important to know you will get exact value for your deposited USDC.e (e.g. if you deposit 1000 USDC.e you will receive $1000 worth of WLRS/USDC.e LP
TWAP | WITHDRAWAL FEE |
|---|---|
1.00 | 0% |
0.9 - 0.99 | 10% |
0.8 - 0.89 | 20% |
0.7 - 0.79 | 30% |
0.6 - 0.69 | 40% |
0.5 - 0.59 | 50% |
0.4 - 0.49 | 60% |
0.4 - 0.49 | 70% |
0.4 - 0.49 | 80% |
0.1 - 0.19 | 90% |
0.0 - 0.09 | 99% |
- If the price of $WLRS increases greatly over a short period of time, then it may be more profitable to hold $WLRS instead of depositing into this pool
- If the price of $WLRSwere to never get back to 1.01 TWAP, then depositors would have to stay in the pool for a long time in order to get back their initial after considering the withdrawal fee
Once the PCP starts some may choose to break LP and stake their USDC.e in the Back to Peg campaign tool. Upon doing this there will be an excess of WLRS on the market. We will introduce $WBOND staking for wSHARE during this time as it will allow people that are "all in" to also commit to burning more WLRS from the market until we get back over peg. This will allow you to yield off of every move you make that benefits the protocol.
Last modified 1yr ago