veLDY Pools

The Ledgity Protocol uses a veToken (vote-escrowed) staking model to align long-term incentives between users, governance stewards, and the protocol’s economic growth.

When users stake LDY, they lock it for a chosen duration and receive a veNFT that represents:

  • Voting Power in governance

  • Share of protocol buybacks

  • Utility boosts inside the protocol (priority withdrawals, yield boosts, etc.)

The longer the lock → the higher the veLDY weight → and the larger the share of rewards.


How veLDY Works

Action
Result

Stake LDY

Receive a veNFT position

Choose lock duration (e.g., 1–24 months)

Lock duration increases veLDY weight

Hold veNFT

Earn a share of BUYBACK rewards + governance rights

veLDY does not inflate or mint new tokens. Value accrues through real yield → buybacks → reward distribution.


Dual Pool Reward System

The protocol distributes bought-back LDY into two separate staking pools.

Pool
Allocation
Beneficiaries
Purpose

veLDY Community Pool

80% of all LDY buybacks

Users who stake LDY

Rewards aligned community participation & long-term commitment

veLDY Council Pool

20% of all LDY buybacks

Governance stewards & strategic contributors

Sustainable funding for protocol oversight, partnerships & development

This structure ensures:

  • Users receive the majority of value created by the protocol

  • Governance is sustainably incentivized, without requiring inflation or forced token sales What veLDY Unlocks

    Benefit
    Description

    Part of the Buybacks

    Earn yield sourced from real economic activity, not inflation

    Governance Voting Power

    Propose / vote on protocol upgrades, fees, treasury usage

    Priority Withdrawals

    Higher queue ranking in withdrawal scheduling

    Boosted Yield Access

    Required to use boosted vaults & future leverage strategies

    Eligibility for Council Roles

    veLDY stakers can be elected to governance committees

Last updated