This document describes how IDLE tokens are allocated to liquidity providers and how to use them to join the Idle Governance.
Requirements needed to be eligible to receive IDLE:
- Have a Ethereum Wallet (e.g. MetaMask)
- Do not have a wallet yet? Let’s create your first Ethereum wallet using Idle. Go to the dashboard and click “Connect”, then select “New Wallet” and follow the procedure
- Own cryptocurrencies supported by Idle (e.g. DAI, USDC, USDT…) in that wallet
- Do not own crypto? Buy tokens with Bank account or Credit card using our Fiat on ramp integration.
Once you have a wallet and enough funds (remember to also consider gas costs!) you are ready to provide liquidity in Idle’s pool.
In Idle you can find 2 strategies:
- Best Yield strategy allows users to optimize interest rate profitability and seamlessly get the highest yield, without having to manually move funds across different lending protocols to chase the best returns.
- The Risk-Adjusted strategy provides a way to earn the best rate at the lowest risk-level.
Each strategy is composed of pools, corresponding to the related cryptos: IdleDAIBestYield, IdleUSDCBestYield, IdleUSDTBestYield, IdleDAIRiskAdjusted, IdleUSDCRiskAdjusted and many more.
You can pick up a specific pool (e.g. IdleUSDCBestYield) and provide liquidity there by clicking “Deposit”.
To Deposit your USDC into Idle you need to approve Idle’s Smart-Contract first. Your wallet will pop up and allow you to confirm the operation by sending a transaction (you need to spend a tiny bit of ETH to perform this action, but it’s cheap).
Now the pool is enabled and you can deposit USDC in the pool.
Once funds are deposited, you will start receiving IDLE tokens according to the distribution program live at that moment.
At the time of writing, 2 initiatives have been implemented:
- Liquidity Bootstrap Program [390,000 IDLE]: live after the launch for only 30 days. It has been designed to incentivize liquidity provision in the early stage of the Governance launch and foster additional Idle ecosystem growth. This program distributes 2 IDLE per block across all pools, proportional to the generated utility.
- Liquidity Mining [2,340,000 IDLE]: this program starts right after the Liquidity Bootstrap Program. LPs receive these tokens in proportion to their provided liquidity over the course of the next 24 months. 0.5 IDLE per block will be linearly distributed during the aforementioned period.
IDLE tokens IDLE are accrued automatically inside the Idle protocol and distributed to users once they redeem them.
Now you have the voting power to participate in the Governance process. Here below we list three guides that help you to explore the features of the Governance system:
How To Delegate
How To Vote
How To Propose an IIP