👨‍🍳The MNDE token

MNDE was launched on October 7, 2021 and allows you to take part in the governance of the Marinade protocol and treasury.

Marinade token (MNDE)

Tokenomics

MNDE is currently allocated as such:

  • 35% - DAO Distribution. Used as token holders see fit via proposals, initially used for Liquidity Mining programs.

  • 35% - DAO Treasury. This is a treasury reserve to be used for operations, grant programs, and strategic partnerships. This treasury is controlled by Marinade's multisig and will be unlocked and governed by MNDE holders.

    • Besides this reserve, the treasury also receives mSOL protocol fees:

      • 1.95% of staking reward fees generated by Marinade protocol

      • 25% of liquid unstake fees generated by the Unstake liquidity pool

  • 30% - Team. This is an allocation for current and future contributors. The distribution has not started yet and those funds are currently controlled by Marinade's multisig.

    • Team tokens will be subject to 2 year vesting.

These allocations could also be modified by MNDE holders in the future through on-chain votes.

MNDE utility

Governance token

Marinade token will be used in DAO governance. The intent is for the MNDE token to be distributed to the early users, protocol builders, and project contributors in a fully transparent way.

There is no token sale, no private investors and no VC fund behind Marinade. A major portion of MNDE tokens are reserved for the DAO and treasury reserve to form powerful community governance among Marinade users.

One thing to note is that before the on-chain governance voting platform is ready for MNDE holders, core protocol contributors will make critical decisions based on the project vision and informal input from the community on Discord. This is intentional, as we think it’s important to keep governance nimble in the early days of the protocol.

The main reasons for introducing the governance token:

  1. Form the DAO. MNDE represents a fractional ownership of Marinade DAO. The DAO is going to be responsible for updating program parameters, product roadmap, ecosystem participation, and other strategic decisions.

  2. Incentivize liquidity. To bootstrap initial liquidity and accelerate the growth of the Marinade platform. See Liquidity Mining for more details.

  3. Capitalize the treasury. To allow for strategic partnership funding or creating a reserve fund.

Other utility

An ongoing task of the Marinade DAO is to suggest and evaluate other utilities for the MNDE token. Many suggestions have already been made including:

  • Protocol controlled liquidity

  • MNDE time-locking and its role in governance as vote multiplication

  • Protocol fees and their relation to MNDE

  • Treasury buybacks

  • Etc.

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