A feature/step toward true governance, with numerous benefits to inSPIRIT holders such as gauge governance, APY boost, and protocol revenue (swap fees) & Bribes.
What is inSPIRIT?
To put it simply, inSPIRIT is a yield generating, governance, and utility token based off Curve’s veCRV and Pickle’s DILL tokens.
However, inSPIRIT is much more than just a step towards governance. In fact, inSPIRIT brings in a plethora of other rewarding use cases, such as:
1) inSPIRIT reward distribution: A portion of all fees captured by the exchange are used to buy back SPIRIT at market rate and distribute to inSPIRIT orders via our weekly reward distribution.
2) Governance over SnapShots: inSPIRIT participants hold the key to any decisions made surrounding changes, updates or aditions to the SpiritSwap protocol. inSPIRIT holders are able to vote for or against any proposal that are made to the DAO, in effect making SpiritSwap a fully fledged Decentalized Autonomous Organization
3) Farm Boost: Farmers that hold inSPIRIT can receive a max boost of up to 2.5x in farming rewards. For example, a farmer, with no inSPIRIT, could farm FTM-SPIRIT for 100% APR. Whereas a farmer with sufficient inSPIRIT to achieve max boost could farm FTM-SPIRIT for 250% APR.
4) Gauge control: inSPIRIT holders have the ability to vote on how reward emissions are distributed between each epoch period (weekly) thus empowering them to give preference to farms that are more crucial to the ecosystem or pools that they themselves are farming. This level of power allows inSPIRIT holders to harness their yield farming earning potential and balance out their "opportunity cost".
5) Bribes: inSPIRIT holders and further their earning potential via participation of gauge control by accepting protocol driven bribes.
6) Vote fees: inSPIRIT holders who vote on gauges will further to receiving bribes also receive 50% of all fees that each pool they vote on generates.
To get inSPIRIT, users must lock SPIRIT tokens for a user-defined timeframe. inSPIRIT would entitle the user to more preferential terms for all interactions within the protocol.
Users can lock their $SPIRIT for any timeframe between 1 month to 4 years.
Locking $SPIRIT for a longer timeframe yields a larger amount of inSPIRIT. For example, locking 10 $SPIRIT for 1 year yields 2.5 inSPIRIT. Whereas, locking 10 $SPIRIT for 4 years yields 10 inSPIRIT.
The amount of inSPIRIT slowly decreases in the user's wallet until it reaches 0. This signifies that the lock period has ended and the user can withdraw their $SPIRIT.
inSPIRIT is a non-transferable token, although we are exploring the option of an fNFT that will add some form of liquidity to a non liquid position.