Voting and Gauge Weights
OnX Finance allows onONX holders to vote every 28 days on how OnX vaults fees are distributed according to the following options:
- Vote on a specific vault to enable additional ONX rewards
- Vote on ONX staking rewards
- Vote on ONX burn
- Coming soon: Cashback
Before the vault fees distribution, collected fees in different tokens will be sold to buyback ONX on the market.
To become an onONX holder, users will have to either:
- Bond x ONX to get x onONX votes
- Bond ONX/ETH Sushiswap Liquidity Pool (SLP) vault tokens holding inside the Liquidity Pool within the vault y ONX to get 2y onONX votes
The unbonding period of onONX will be 28 + 3 days (31 days) to make sure a user is not able to vote twice during a specific voting period.
onONX is a non-transferable and non-tradable token to ensure that nobody is able to vote twice during a specific voting period.
It will be required to choose between staking and bonding ONX. Bonding ONX does not grant staking rewards but provides the ability to vote on ONX vault fee distribution, including voting in favor of ONX staking, which incentives ONX token holders to stake instead of voting, boosting as such the voting power of ONX voters.
When bonding ONX/ETH SLP vault tokens, please note that the balance of ONX inside SLP changes due to impermanent loss, and the allocated amount of onONX will be fixed at the moment when the ONX/ETH SLP vault token is bonded. Therefore, if ONX price increases vs. ETH, there will be less ONX in the ONX/ETH SLP, but the amount of onONX will remain unchanged.
- Gauge weight votes will be every 28 days, starting Mondays at 11:00 pm PST and ending on Thursday at 11:00 pm PST.
- Individual onONX holders may spread their votes among multiple pools in gauge weight votes.
- Each gauge will have a hard cap of 50% of OnX Finance’s onONX assigned to it. Overflow will be distributed to other pools in proportion to their vote weight.
- Each gauge must receive at least 5.00% of the votes before weight is assigned. Any gauge receiving less than 5.00% will be proportionally distributed to other eligible gauges (receiving between 5.00% and 50.00% of the votes).
OnX Finance multi-sig is still required to sign to establish outcomes of all OnX Finance Snapshot votes, for both governance and Curve gauge weight votes.
OnX Finance will always aim to process the votes in line with Snapshot results and voting rules described above. If any action is discovered harming the voting process of OnX Finance (e.g. double voting resulting from discovered vulnerability, etc.), OnX Finance reserves its right to adjust the votes accordingly.