This is a community draft to solicit community feedback. Details subjective to change at launch.
The Spartacadabra system has three tokens:
- CHARM. The main circulating token for Spartacadabra. CHARM does magic things to incentivize Spartacadabra users.
- sCHARM. Stake CHARM to receive sCHARM. sCHARM holders receive protocol fee sharing and vote on Spartacadabra governance.
- LAMBDA. The USD-pegged stable coin.
Total supply: 210,000,000,000 CHARM (210B)
15% (31.5B CHARM) - Spartacadabra DAO. Our community will decide on how to best use this CHARM allocation in the future. It will be multisig with 48 hours timelock.
15% (31.5B CHARM) - Team (starting to unlock after a 6-month cliff, followed by linear vesting over 4 years).
50% (105B CHARM) - Global Farming Incentive Pool. This is to incentivize liquidity provisioning that functions as the infrastructure of Spartacadabra. 2% of the total supply will be airdropped to sSPA holders based on multiple random snapshots within +/- 3 days of the launch day.
20% (42B) - Liquidity bootstrap event (LBE). LBE will provide initial circulating liqudity on market. Unsold tokens will be sent back to the global farming incentive pool. Details to be announced very soon.
There will be two incentive pools with CHARM rewards initially:
- Lambda - 2Pool (Dai/USDC) Curve LP on Fantom
- CHARM-USDC SLP on Fantom
The emission rate for each pool will be announced soon.
More farming pools to be approved by DAO governance.
Stake your CHARM to get sCHARM using the magic UI on Spartacadabra. The staking has a 24hrs timelock (available to withdraw after 24hrs)
This is similar to how Sushi Bar works. sCHARM holders receive:
1. Interest and borrow fee of the collateral will be used to purchase CHARM tokens on the open market, and the bought CHARM tokens will be accumulated in the CHARM fee pool.
2. 10% of the liquidation fee will also be accumulated in the CHARM fee pool.
3. All CHARM tokens accumulated in the CHARM fee pool will be distributed to sCHARM holders;
4. sCHARM holders also vote on Spartacadabra governance.
The Lambda token is a USD pegged stable coin that is backed by interest bearing tokens. The dollar peg will be achieved by market dynamics on buying and selling of Lambda on the Lambda-2Pool curve pool
When Lambda is trading below 1 USD, users can decide to buy Lambda at discount to repay debt. This market buying pressure helps push Lambda back to the 1 USD peg.
When Lambda is trading on some market above 1 USD, users can decide to open a position and sell the Lambda borrowed to make profit, arbitraging the Lambda price back to 1 USD.
Lambda token will be minted by a multisig contract and injected into circulation only after users deposit the collaterals.