Staking

You can stake SIO2 tokens in Safety Module to generate veSIO2 tokens, which are non-transferrable, and will become claimable after the lockup period expires. Your veSIO2 share in the Safety Module also represents the revenue share distributed to the community and governance share for SIO2 Finance.

FAQ

How does locking work in SiO2 Finance?

To start locking, all you need to do is stake your SIO2 token to the SiO2 Finance Safety Module, and specify the lock-up period. For a given amount of SIO2 tokens, the longer you lock up the SIO2 tokens, the more veSIO2 tokens you will get, which represents a share of voting power and could earn pro rata share of the protocol revenue distributed to the community.

What is veSIO2?

Unlike SIO2, veSIO2 is non-transferrable, and can only be generated after locking the SIO2 tokens for a period of time. It is the only token in SiO2 Finance that can represent voting power and share the protocol revenue distributed to the community.

How much will my veSIO2 earn?

Your veSIO2 tokens will earn a portion of the share of the fees equal to your share of the total veSIO2 generated. Some portion of the sTokens accumulated in treasury will be periodically airdropped to veSIO2 token holders.

Is there a lock-up period if I lock SIO2 to generate veSIO2?

Yes, there will be lock-up period associated with locking SIO2 to generate veSIO2. After the lock-up period, you are free to withdraw SIO2 tokens, but do notice that we don't allow partial withdraw. Say if you locked 10 SIO2 tokens for 4 years to generate 80 veSIO2 tokens, then after 4 years, if you decide to take out SIO2, you have to take out all 10 SIO2 tokens (which will burn 80 veSIO2 tokens).

Are staked SIO2 tokens used to backstop the system (like Aave or Maker) or for governance?

Yes, SIO2 tokens staked in Safety Module are used to backstop the SiO2 Finance system and are used for governance through veSIO2 tokens.