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  1. LEVEL DAO

LVL Weekly Burn

PreviousRedemption ProcessNextDAO Proposals

Last updated 1 year ago

This LVL Burn mechanism was implemented in after the DAO voted in favor. This mechanism regulates the DAO’s LVL balance.

Given that the DAO accrues trading fees on a continuous basis, there will be a weekly 1:1 burning of LVL tokens from the treasury reserve for every 1$ of trading fees it accumulates.

We believe that reducing terminal supply of LVL at the same rate that the platform is growing is a great way to simultaneously enhance the value of the protocol as well as reward its community of early adopters committed to the long term success of the protocol.

LIP-022: Regulating LVL Balance