oTokenomics v2

Introduction The process of claiming voting rewards, claiming rebases, buying more $BLUE, locking into a veBLUE NFT, and voting every week can quickly add up from a gas perspective, locking out smaller users from participating in the ecosystem.

Blueprint aims to fill this void with revamped oTokenomics, powered by our frens at Stabl Labs (Retro on Polygon POS and ZERO on Polygon zkEVM).

oTokenomics v2 Summary Blueprint will not require users to execute transactions on the most tedious ve(3,3) functions, such as:

• Locking tokens for voting

• Maxlocking every week to maintain voting power

• Weekly voting

• Claiming weekly rebases

• Claiming weekly voting rewards

Protocols and users can still use conventional veBLUE to vote for the gauges of their choice. However, $oBLUE is built as an all in one solution for users who prefer not to manually control their own voting and instead yield automatically. The new oTokenomics will allow Blueprint users to benefit from voting rewards (bribes & fees) without actually needing to lock tokens or vote.

Revolutionary ve(3,3) Emissions Blueprint gauges will distribute $oBLUE as emissions rewards for liquidity providers. $oBLUE will be the first ever yield-bearing, auto-compounding options token in DeFi.

Here are some quick facts about $BLUE and $oBLUE

• $oBLUE allows users to participate in the ve(3,3) ecosystem without the need to execute tedious gas tasks such as voting, locking, maxlocking, claiming weekly rebases, claiming weekly rewards

• $oBLUE can be redeemed into maxlocked veBLUE at 100% discount at any time

• $oBLUE is intrinsically yield-bearing. Simply hold $oBLUE to earn yield

• $oBLUE can be redeemed as an option according to redemption discount % for liquid $BLUE

• There is no peg to be maintained on $oBLUE to $BLUE

• There is no need for rebase in the updated model as $oBLUE is autocompounding

• There will be no $oBLUE-$BLUE LP

• There is no need or use case for a liquid wrapper for $BLUE

• $oBLUE contract acts similar to liveRETRO & liveTHE in that it is an auto-compounding vault where a max-locked veNFT position is held. The vault votes for optimized ROI at the end of each epoch according to the publicly available, open source on-chain algorithm. The vault then claims bribe + fee rewards, liquidates those rewards, buys back $BLUE on the open market, maxlocks it, and adds it to the vault

• Unliked traditional liquid wrappers, users will not need to stake $oBLUE to earn yield (simply holding in a wallet is enough)

• $BLUE can be converted into $oBLUE if a user buying on the open market wishes to partake in the yield bearing/revenue generating aspects of $oBLUE without needing to partake in gas intensive actions

TL;DR The oTokenomics of Blueprint will allow for an easier user experience while adding significant buy pressure to the $BLUE token, without taking away traditional ve(3,3) features that many users will still want to use.

Why is this important? Let’s look at Retro’s core metrics (as of December 2nd, 2023): TVL: $9.1M

Volume (epoch 18 is in progress):

Fees (epoch 18 is in progress):

Volume and fees have been impressive, and voter APR has never dipped below 100% since Retro’s inception. This protocol is on Polygon POS.

Now, let’s look at the blockchain statistics per Defillama:

Notice that Ethereum has 32x the TVL and (more importantly) over 7x the volume of Polygon (on December 2nd). Knowing that ve(3,3) protocols with concentrated liquidity thrive on volume, you can imagine what kind of fees Blueprint will attract on mainnet.

While this is all very exciting, what holds many back from joining the mainnet party are the gas fees. By significantly reducing the necessary transactions to participate in the voting process, Blueprint aims to allow access to a unique ve(3,3) ecosystem on Ethereum to everyone who is interested.