3 ♠ · Strategy · Draft

ve(3,3) Tokenomics

A vote-escrow model where lockers direct emissions, earn the fees they direct, and are protected from dilution.

The ve(3,3) Tokenomics card: 3 ♠ of Strategy

How it works

Token holders lock their tokens for up to four years and receive a voting position as an NFT. Longer locks give more voting power. Each week, lockers vote on which liquidity pools receive new token emissions. Lockers earn the trading fees of the pools they voted for, plus any payments that projects offer for votes. New emissions also go to lockers in proportion to their share, so a locker who stays locked keeps the same share of supply. Sellers and non-lockers are diluted instead.

Use it when

  • You run a decentralized exchange and want emissions to follow real trading volume.
  • Reward long-term lockers without letting new emissions dilute their voting share.

Watch out for

  • Vote buying: lockers chase the highest payment, not the pools the protocol needs.
  • A rushed launch: the original Solidly lost most of its liquidity within months of going live.

Example

Solidly. Andre Cronje launched Solidly on Fantom in February 2022 as the first ve(3,3) exchange, and forks such as Velodrome carried the model forward.

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