Necc
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Tokenomics
NECC Yield and Governance token
Protocol fees -> AMM swap -> Mint NDOL -> Buy Bonds for NECC
Vested NECC redistributed to NDOL and NECC stakers to sustain APY
Protocol fees from minting, burning and borrowing are redistributed by calculating balanced collateral mint amounts and swapping via external AMMs to help rebalance pool ratios.
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By supplying collateral to the protocol to be borrowed for leveraged positions, NECC is redistributed in return.
NECC is vested over five days at a discount by selling NDOL or NDOL/nNECC LP principal to the protocol treasury.
NECC could also be swapped on a secondary market like an AMM, trading above the underlying collateral basket price inside the treasury.
As the treasury owns more principal overtime, NDOL and NECC pricing stabilises providing the protocol sustained revenue and risk free asset allocation for roadmap development.
Given a decentralised and stable price, NECC itself can be utilised in permissionless & partnership markets as well as treasury sharing to survive multiple bear markets.
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1% of vested NECC (Bond purchases) is redistributed to $NDOL interest bearing stablecoin stakers.
20% of vested NECC is also distributed to the DAO.
NECC DAO funds can also be used for roadmap implementation and LP fee earning and aiding NDOL weighting.
Protocol fees minting and bonding means more collateral locked in, better redemption rates and more runway to afford rebases.
More LP bonds and collaterals to be whitelisted as decided by cautious Governance to grow the Protocol and diversify the treasury.
Project partnerships increase utility of the stablecoin and governance token and more deployments crosschain to increase liquidity reach.
Treasury allocation and protection for bera market survival, structured products developed to increase UX for onboarding users, NFT tribes and fee tiers could be introduced.
...The list goes on.
At the end of the day, it is MicroDAOs collaborating and sharing good vibes only!
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