VSP Token: Supply, Issuance, & Rewards
In addition to the yields generated by the pools, users can also earn the native VSP token. Users earn VSP tokens in three ways: participating in Vesper pools, providing liquidity, or staking VSP. These are described below.
VSP are dripped to users (a little is issued to them every block), and held by the smart contract until the user withdraws from the pool, which triggers the contract to deliver the VSP to their address.
Each Vesper Grow pool is assigned an amount of VSP tokens, and these are distributed to participants proportionate to size of their stake in the pool. Initial pools are incentivized for twelve months after launch.
These VSP tokens are an extra reward on top of the passive yield the pool generates.
Users can deposit their tokens to the VSP treasury pool. Just as depositing your ETH in the ETH pool creates vETH, depositing VSP tokens in the VSP treasury creates vVSP.
After withdrawal and yield fees are collected in the pool (ETH, BTC, USDC, etc.), they go to the Treasury Box and are used to buy back VSP on Uniswap. This VSP is delivered to vVSP pool participants as yield on their deposit. ​
In addition to VSP farming on Vesper pools, liquidity providers to VSP-ETH market pairs can also earn VSP rewards when they stake their tokens into the corresponding Vesper liquidity pool.
The token pairs will be incentivized for the first twelve months. Any extensions beyond the first twelve months will be decided upon by VSP holders.
At launch, Vesper will have a total supply of 10,000,000 VSP:
6.5M VSP (65%) goes to the community, which includes 2.55M for the Incentivized Launch Pools, 1M to incentivize liquidity providers, and 2.95M to the Vesper Reserves.
3.5M VSP (35%) is for Vesper team, advisors, and strategic partners, which is subject to vesting over twelve months.
The initial policy is to keep the supply at 10 million. Twelve months following public launch (after open beta), the community may vote on whether to burn the admin keys and fix the supply at 10 million forever, or, assign minting ability to a DAO for future management. It is up to the community to decide whether limiting future minting benefits the overall Vesper project. For the first 12 months, any amount of VSP beyond 10 million is locked.
Before the official Vesper launch, there will be a brief beta program where users can deposit funds and participate in the initial Vesper pools. There is no active VSP drip during the beta (as there is after), but average balances across the entire period will be recorded and beta users will receive VSP proportionate to their deposited assets after the conclusion of beta.
450,000 VSP is allocated as beta rewards to be distributed to early users of Vesper's open beta. These rewards will be delivered as a multi-send airdrop to each beta participant's wallet on launch day. No further actions are required for beta participants to be eligible.
Please note that these emissions are not finalized, and may be subject to change at the discretion of the community. (For more on Vesper’s governance, refer to the documentation’s chapter on Vesper’s decentralization plan.)
Launch Pools (2,550,000 VSP)
450,000 allocation to pre-launch Beta participants, airdropped at launch
2,100,000 over twelve months, heavily weighted towards the first three months
Reserves (2,950,000 VSP)
Reserves for ecosystem growth and developer/community incentives, as determined by VSP voters
NOTE: A small amount of reserves have been leveraged to further boost rewards on Grow Pools.
Liquidity Providers (1,000,000 VSP)
Incentivization for LPs on Uniswap, SushiSwap, 1inch and Loopring (with SushiSwap retaining majority)
1,000,000 distribution over 12 months, heavily weighted towards the first month (and more acutely — the first weeks)
Team and Advisors (2,500,000 VSP)
208,333 (1/12) unlocked at launch
2,291,667 (11/12) vested with streaming unlock (constant drip each block) for eleven months following launch
Strategic Partners (1,000,000 VSP)
83,333 (1/12) unlocked at launch
916,667 (11/12) vested with streaming unlock (constant drip each block) for eleven months following launch
Emissions Breakdown
SushiSwap LP rewards for the first month were distributed via Geyser (gysr.io). Months 2-12 are distributed through a merkle claims process at Pure Finance for liquidity providers who deposit their LP tokens to SushiSwap Onsen (thus receiving $SUSHI rewards as well).
Uniswap LP rewards are distributed via Geyser for the full twelve month duration following the schedule below. You can interact with the Uniswap Geyser here.
1inch LP rewards are distributed through 1inch multi-farming support for those who deposit to 1inch VSP-1inch LP farming. They receive VSP in the same manner as they received 1INCH initially, and 1inch team also has the opportunity to extend their supplied 1inch rewards as well.
Loopring LP rewards are handled through Loopring directly. VSP is rewarded to market makers on the orderbook exchange and follows a formula that multiplies the volume of a user’s buy/sell orders by time-spent within 2% of the market price. You can learn more about Loopring’s orderbook liquidity mining in the post here.
Additionally, users can earn LRC when they trade across the VSP-ETH AMM. A VSP/DAI orderbook will be included soon as well.
Note that the sum of SushiSwap and Uniswap LP rewards is 1,000,000. The additional 107,800 VSP across 1inch and Loopring was funded out of the reserves allocation.
Team, Advisor, and Partner tokens are held in a Sablier contract. Recipients can interface with the contract to claim VSP as frequently or as seldom as they prefer. They receive 1/n of their total VSP allocation over the entire n blocks of their vesting period.
Below outlines VSP emissions. Several assumptions are made:
All tokens are claimed as soon as they are available.
No additional VSP is granted from reserves.
Existing reserve holdings are not counted towards emissions.
Vesper launched on 2/17/2021
​ | TOTAL | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 |
Team | 2,000,000 | 333,334 | 166,667 | 166,667 | 166,667 | 166,667 | 166,667 | 166,667 | 166,667 | 166,667 | 166,667 | 166,667 | 0 |
Partners & Advisors | 1,500,000 | 250,000 | 125,000 | 125,000 | 125,000 | 125,000 | 125,000 | 125,000 | 125,000 | 125,000 | 125,000 | 125,000 | 0 |
vETH | 770,000 | 125,000 | 150,000 | 100,000 | 100,000 | 75,000 | 55,000 | 40,000 | 30,000 | 22,500 | 17,500 | 13,333 | 11,667 |
vUSDC | 720,000 | 125,000 | 150,000 | 100,000 | 50,000 | 75,000 | 55,000 | 40,000 | 30,000 | 22,500 | 17,500 | 13,333 | 11,667 |
vWBTC | 770,000 | 125,000 | 150,000 | 100,000 | 100,000 | 75,000 | 55,000 | 40,000 | 30,000 | 22,500 | 17,500 | 13,333 | 11,667 |
vLINK | 75,000 | 0 | 0 | 20,000* | 27,500 | 17,500 | 10,000 | 0 | 0 | 0 | 0 | 0 | 0 |
Sushi | 600,000 | 111,000 | 75,000 | 69,000 | 54,000 | 48,000 | 36,000 | 34,500 | 34,500 | 34,500 | 34,500 | 34,500 | 34,500 |
Beta Rewards | 450,000 | 450,000 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Uniswap | 431,200 | 74,000 | 50,000 | 82,000** | 31,200 | 32,000 | 24,000 | 23,000 | 23,000 | 23,000 | 23,000 | 23,000 | 23,000 |
1inch | 100,000 | 0 | 16,666 | 16,666 | 16,666 | 16,666 | 16,666 | 16,666 | 0 | 0 | 0 | 0 | 0 |
Loopring | 7,800 | 1,300 | 2,600 | 2,600 | 1,300 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Cumulative | 7,338,000 | 1,594,634 | 2,480,567 | 3,262,500 | 3,938,833 | 4,479,966 | 4,963,000 | 5,433,832 | 5,873,000 | 6,312,166 | 6,751,333 | 7,190,500 | 7,338,000 |
NOTE (7/16): Further months emissions are largely a placeholder while ongoing discussion of tokenomics/revenue V2 take shape. *vLINK pool rewards began on April 29th (middle of "month 3"). vLINK rewards breakdown is as follows:
Month 1 (First thirty days starting Apr 29): 40,000 VSP
Month 2: 15,000 VSP
Month 3: 20,000 VSP
**Error in Geyser deployment duplicated VSP rewards for liquidity providers to Uniswap through the duration of month three. Rewards were prorated slightly in month four in response.
