CVI Rewards are a great way for long term GOVI holders and platform users to benefit from rewards, paid in the form of Escrowed GOVI.
The rewards are given to Liquidity Providers on the CVI platform as well as to anyone holding the GOVI token. One is rewarded for being a long term believer in the CVI project.
NOTE: By definition, Escrowed GOVI (esGOVI) tokens are untransferable. If you attempt transferring them, transaction would fail. Please do not attempt to buy Escrowed GOVI (esGOVI) off the market or from an OTC desk or OTC deal as you will not be able to vest them.
Escrowed GOVI (esGOVI) can be used in two ways:
Staked for rewards similar to regular GOVI tokens.
Vested to become actual GOVI tokens over a period of one year.
Each staked Escrowed GOVI token will earn the same amount of Escrowed GOVI rewards as a regular GOVI token.
Compounding vs Claiming
Compounding will stake your Escrowed GOVI rewards, this will increase the amount of rewards you receive.
Claiming will transfer any pending Escrowed GOVI (esGOVI) rewards to your wallet.
If you compound or stake your Escrowed GOVI tokens, you can un-stake them for vesting at anytime you choose to.
Vesting is the process that let's you convert Escrowed GOVI (esGOVI) back to GOVI over time. Either esGOVI that was received via staking of GOVI or via staking of LP tokens, i.e: Theta Vault (T-CVI-LP).
Vesting is available on our new Tokenomics page, just below the Staking boxes.
After initiating a vesting action, the vested Escrowed GOVI (esGOVI) tokens will be converted into GOVI every block and will be fully vested over 365 days according to the stated APY on the Tokenomics page. Escrowed GOVI (esGOVI) tokens that have been converted into GOVI are claimable at anytime.
Note that in case a user staked GOVI, claimed the Escrowed GOVI (esGOVI) tokens he had received and vested them, but for some reason un-staked the original GOVI tokens to either sell or transfer them, he would be able to buy the GOVI back and stake them for the Escrowed GOVI (esGOVI) to work (meaning: esGOVI tokens are not directly tied to the GOVI tokens staked).
Escrowed GOVI (esGOVI) will be distributed to staked GOVI and staked Theta Vault (T-CVI-LP) tokens according to the schedule that is subject to changes. Reward rates will be evaluated each month and any modifications will be announced at least 7 days in advance before being implemented.
Rewards are distributed every second to staked tokens.
A summary of rewards and mechanics:
GOVI: earns Escrowed GOVI (esGOVI) when staked.
Escrowed GOVI (esGOVI): earns Escrowed GOVI (esGOVI) when staked.
T-CVI-LP: earns Escrowed GOVI (esGOVI).
Rewards is a great way to take part in the CVI ecosystem. If you believe in the project long term, participating in the new Tokenomics by locking up your tokens for rewards - will be beneficial for the long term.