Wombex Finance

A great Defi narrative is coming to the BNB Chain<h3 id="introduction">Introduction</h3>Wombex owns 37% of veWOM in Wombat. It results not only in a high boost for LPs, but also in significant voting power in the upcoming Wombat governance system.<blockquote>Influence always was traded. Defi made it mainstream.</blockquote>Today voting power is traded on so-called bribe markets, allowing holders of this power to earn a yield on top of it. It works like renting out an apartment — you receive money from people who live there, and at the same time, you always own this apartment.Every vlWMX holder owns a share of voting power in WombatAs you might know, WMX has utility only being vote-locked. The owner of vlWMX holds a position inside <a href="https://bscscan.com/address/0xd4E596c0d5aD06724f4980ff9B73438FEb1504EE" rel="noopener noreferrer nofollow">wmxLocker</a> contract and receives the full utility of a token such as governance rights on Wombat and Wombex, and protocol fees stream.The amount of voting power controlled by 1 vlWMX can be easily calculated by dividing number of vlWMX to total number of veWOM in Wombex:<img src="https://miro.medium.com/max/1400/0*LJSfcjCV5Ys9vwxC" />Dune Dashboard: <a href="https://dune.com/wombex_finance/wmx-token" rel="noopener noreferrer nofollow">https://dune.com/wombex_finance/wmx-token</a>It means that if you own one vlWMX, you own 5.15 veWOM and all voting power of this 5.15 veWOM. When the bribe market goes live, you can sell voting power of 5.15 veWOM on the open market and do it endlessly every voting.<h3 id="strong-the-concept-of-the-bribe-market-strong">The concept of the bribe market</h3>The idea of the bribe market is very simple:<ul><li>if there is a voting in some protocol</li><li>and there is a party that has certain financial interest in influencing the outcome of the voting</li><li>this party can “rent out” the voting power to achieve the desired outcome</li></ul>In the case of Wombat, the main area of interest is rewards for pools (trading pairs). DAOs and projects could act as main parties offering bribes to boost rewards for their pools.Bribes are offered in Rounds.When the Round is started, there is an initial bribe amount for voting for a particular pool. When vlWMX token holders start to vote, the amount of bribe available is divided by the number of votes, forming the rate paid for the single vote. This magnitude changes over time. It happens since more votes can be cast for this option or more bribe rewards are added while voting is active.<blockquote>A bribe market is an attractive option for token holders since they can earn rewards every Round in addition to the protocol fees.</blockquote>However, it is important to point out that it has nothing to do with any kind of dividends since rewards are paid by third-party actors and require active participation in voting from token holders (but it can be simplified via the delegation option).In such projects like Convex and Aura.finance bribes become a main source of income for token holders, significantly exceeding the protocol fees.<h3 id="strong-wombex-bribe-market-strong">Wombex Bribe market</h3>The Wombex team is busy developing a bribe market for selling voting power in Wombat. We see the bribe market as a core element of Wombex protocol and a essential tool for the Wombat ecosystem.Here we share a sneek peek of UI how it will look like (current working version that can be changed in the future):<img src="https://miro.medium.com/max/1400/0*vW-DF1tCCAQWgh-e" />Users can add bribes for all Wombat pools, vote, and also see statistics for the current bribing round. Note that Wombex is exclusively focused on Wombat and if Wombat will go multi-chain, Wombex will handle all bribes on other chains as well.We are waiting for the launch of Wombat governance to kickstart the Bribe era in Wombat.Stay tuned, Wombex Warriors!<h3 id="strong-follow-wombex-socials-strong">Follow Wombex socials</h3>Twitter: <a href="https://twitter.com/WombexFinance" rel="noopener noreferrer nofollow">https://twitter.com/WombexFinance</a>Discord: <a href="https://discord.gg/wombex" rel="noopener noreferrer nofollow">https://discord.gg/wombex</a>Telegram: <a href="https://t.me/wombex" rel="noopener noreferrer nofollow">https://t.me/wombex</a>

The next step for Wombex: the bribe market

Table of Contents

Wombex Finance

Other articles published on Nov 24, 2022

Understanding vAPR generation and distribution in Wombex

Enegra Receives Audited 2021 Financial Report

Wombex: Weekly Recap & Penalty Distribution

Top 5 Tech Trends for 2022

How to play RealFevr Fantasy Leagues ⚽️

New OK wallet v7 | codename: Space Monkey | Released!

Join our free newsletter for daily crypto updates!