๐Lock Details
Details to keep in mind when locking up DFX for veDFX
Last updated
Details to keep in mind when locking up DFX for veDFX
Last updated
The first thing to keep in mind when locking DFX into veDFX is that, veDFX is non-transferrable by design. Once a wallet address owns veDFX, it cannot be transferred or sold in any way.
On a similar note, it should be noted that each wallet address can only have a single lock duration. This means that an address cannot lock โXโ amount of DFX tokens for 2 years (24 Months), and then add another set of DFX tokens for 3 years (36 Months), etc. All DFX per ERC-20 address must have a uniform lock time or you will have to use another address.
To keep it simple and clear, you can choose to lock more DFX up for veDFX at any time, even if you already have some locked. However, you will have two options.
Increase voting weight by adding DFX to existing time lock.
Increase voting weight by extending current time lock.
Both options would result in a higher voting weight. However, the second option would result in a higher voting weight since it's starting from a new time lock and with a higher amount of DFX.
When you increase your veDFX balance by either locking additional tokens or extending a lock, the updated veDFX balance isn't automatically factored into the current vote allocation. Make sure to apply this new voting power to the gauges if desired.
Once an ERC-20 address obtains veDFX, its balance gradually decreases over time as the lock time expires. This reduction in veDFX balance is immediately visible when voting for gauge rewards but doesn't affect the boost. However, note that the boosted APR also declines block by block.
More information can be found here in the Boost section.
Note: Depending on the lock time, a specific amount of veDFX is generated from the DFX that is locked.
| Amount of DFX | Duration of Lock (Yearly) | Amount of veDFX |
|---|---|---|
1 DFX | 1 (12 Months) | 0.25 veDFX |
1 DFX | 2 (24 Months) | 0.50 veDFX |
1 DFX | 3 (36 Months) | 0.75 veDFX |
1 DFX | 4 (48 Months) | 1 veDFX |
You can also use the veDFX calculator to fine tune the amount of DFX you would like to lock: https://gov.dfx.finance/lock
Note: You can lock DFX for less than a year, but your voting weight would be proportionally lower compared to locking for a longer duration.
Gauges: Each liquidity pool has one and their weight (emission amount) is dependent on how the veDFX holders vote.
Epoch: The time it takes for a certain amount of blocks on the chain to be completed.
Emission: The rate and amount of rewards released to that gauge.
