PSY 2.0: PSY Stake and DeMux Overview [RFC]
This document is in a draft state and is open for comments from the community
Last updated
This document is in a draft state and is open for comments from the community
Last updated
With the launch of PSY 2.0 there is a completely new Realm in addition to the existing Realm configuration. The original Realm configuration was set up to control the PsyFi DAO Treasury assets, while the new Realm will be governed by staked PSY token holders (sPSY).
The key details and architecture of it's mechanics are below.
What is PSY Stake? As a reminder Psy Stake is PsyFi DAO’s new staking program for PSY token holders. PSY holders can lock their PSY tokens into PSY stake for 0-4 years to receive 0-4x sPSY tokens in return. The longer the lockup, the more sPSY tokens users will receive in return. These sPSY tokens are staked-PSY tokens that represent the user's ownership weight in the new governance and can be used directly to vote on Governance proposals.
What is DeMUX?
DeMUX is a tool built by Armada that allows aggregation of token streams to certain actions. These actions can be completely controlled by sPSY token holders, which means that stakers have the ability to decide how the fees of the PSY protocols will be spent. Currently the following actions are available on DeMux:
Send
Buy & Send
Buy & Deposit into Armada CLMM
See Armada docs for full up to date list of supported actions.
What is a sPSY Reward Pool?
Staked PSY (sPSY) holders have multiple reward token pools that are dedicated to them. Tokens that are sent to these reward pools can be set via governance to be claimable for sPSY holders. This allows the collaboration between other communities and the PSY community via liquidity mining and allows the sPSY holders to propose how funds in reward pools are to be used.
Due to runtime limitations, there can only ever be 10 reward pools ever created. The community needs to be careful to select only the most useful tokens that they would want to distribute to stakers, as once 10 stake pools have been made, they cannot be removed or any new ones added.
