DAO and Governance
The native Mute token, MUTE, functions as a utility towards unlocking accessibility into the Mute DAO, which is a locked based vote system based on a ve NFT model, veMute (Vote Escrow Locked Mute). This veNFT can be transferred, sold, and eventually burned for the underlying mute it owns once its lock period is expired. This lock based system requires MUTE holders to lock their MUTE for a period of time (7- 728 days), and in return receive a new NFT, veMute. This veMute NFT is custom NFT for every user who locks their Mute in return of a veNFT. The NFT holds 3 important metadata variables: - Underlying Mute Amount locked (for future redemptions) - Total vote share weight - Expiry date After the lock period is expired, you are able to redeem and burn your veMute NFT back to your original MUTE balance, continue to hold your veMute, or redeem & re-up a different time lock. Specifications Minimum lock time: 7 days Maximum lock time: 728 days Increment of lock period: 7 days The exchange rate of MUTE to veMute vote shares is a linear function of the time lock and amount of MUTE being locked:
f(voteshare)=MUTE(timelock/(maxlocktime/2))f(voteshare) = MUTE * (timelock / (maxlocktime / 2))
An example: Locking 12500 Mute for 54 days would result in owning a veMute NFT with the following specifications: - Underlying Mute Amount: 12500 - Total vote share weight: (12500 * (56/(728/2)) ~= 1923 - Expiry date: 54 days from the lock time
Remember, owning a veMute NFT grants you the ability to delegate your veMute voteshare to other addresses. By default, it is delegated to you - but in the chance you delegate it to another address, you are giving up all utility that the DAO offers. Each individual veMute NFT can be delegated to a different address.
veMute vote utility:
  • Dictates a users Amplifier Boost of a Amplifier Pool
  • Modifications to the AMM protocol fee (0.1% currently, can be fixed or dynamic depending on pair)
  • Creation of additional Amplifier pools and reward distributions
  • Creation of additional Bond Offerings and distributions
  • Ownership over the protocol treasury
  • All Mute DAO utility
veMute available custom functionality:
  • Split veMute into smaller veMute NFTs
  • Merge two veMute NFTs into one
  • Increase veMute lock period to a greater one