As Growth DeFi continues its evolution we’re pleased to finally offer resolution on the long-standing issue of veGRO and how we can provide holders with access to their respective holdings.
As veGRO holders will be aware, Growth DeFi’s consolidation onto Binance Smart Chain (BSC) meant veGRO — which never performed as hoped — had to be discontinued. However this has not meant any direct loss for holders, as veGRO holdings were subject to a snapshot, with the intention they be made available to holders again as xGRO under a new approach.
We’ve now reached the point where our new approach can be put into action through a new multi-option user interface called xGRO Staking.
This Medium has been written for our community to understand their available options for the xGRO they can unlock through xGRO Staking.
Options for veGRO holders to claim xGRO
We believe it’s important veGRO holders have some choice via different options to access their xGRO holdings. However, we also need to ensure any options we make available are beneficial to the ecosystem as a whole, including the overall liquidity position and market price of xGRO, and to support the long-term sustainability of Growth DeFi.
For that reason we have decided veGRO holders cannot simply be given free and unfettered access to their xGRO holdings.
In our view there is too high a risk that many market participants would then opt to just ‘claim and dump’, to the obvious detriment of the xGRO token price, other holders, and continued confidence in the ecosystem. This will not be allowed to happen.
We have therefore identified three options that will be available:
- Deposit into The Cultivator
- Unlock xGRO with xPERPs deposits
- Withdraw xGRO with tax applied
Each of these options will be easily accessible via a new user interface.
These are the only three options that are available to access your xGRO previously held in veGRO. Each is now explained in further detail.
Option 1 — Deposit into The Cultivator
Users will have the option to deposit BNB to unlock the corresponding dollar value of xGRO from their veGRO balance. The xGRO will then automatically be paired with the BNB to create a BNB-xGRO LP token.
This process will be delivered through ‘xCultivator’ — part of our new xGRO Staking user interface.
The BNB-xGRO LP token(s) will then be automatically deposited into The Cultivator (hosted by EMP Money) on the user’s behalf. The user will then be able to either compound or claim daily dividends from The Cultivator.
We believe that Option 1 will be the preferred option for most people as it will provide the best overall opportunity for a high financial return. The user benefits from securing daily dividends from The Cultivator, whilst also adding to the overall amount of locked liquidity for xGRO.
For example, if a user submits $100 in BNB into the new user interface, this will unlock $100 in xGRO, which will be paired with the BNB to automatically create a BNB-xGRO LP worth $200.
This means submitting $100 in (BNB) token value provides the user with $200 in token value (BNB-xGRO LP) in return. Not only that, but when the LP is automatically deposited into The Cultivator, the user then benefits from daily dividends on top!
Of course, our other products such as xGRO VDCs then present an excellent option to reinvest your dividends for further gains if you wish.
Option 2 — Unlock xGRO with xPERPS deposits
The second option allows you to unlock xGRO and collect dividends from your unlocked balance by depositing xPERPS tokens.
Users will need to deposit xPERPS worth half the dollar value of the corresponding amount of xGRO they want to unlock. The unlocked xGRO will then remain staked and will earn xGRO dividends for the user from a new Drip Pool that will drip 1% of the total Drip Pool balance daily.
- A user wants to unlock 100 xGRO from their veGRO balance.
- They deposit half the dollar value of this amount in xPERPS.
- 100 xGRO would then be unlocked and staked in the new Drip Pool. This balance will earn daily xGRO dividends for the user.
- The user can claim or compound the xGRO dividends daily.
100% of the xPERPS deposited by users will be burned, helping to slash the circulating supply.
The Drip Pool will be populated through an initial seed investment by the Treasury, and thereafter by xGRO gained through the Option 3 withdrawal tax (see Option 3), xxHMINE holdings of xGRO Staking and also xGRO VDC holdings. This will ensure there is a significant pool of xGRO dividends for users choosing Option 2.
Option 3 — Withdraw xGRO with tax applied
Lastly, users will have the option to simply claim their entire balance of xGRO directly — without depositing any other tokens. However, this option will be subject to a 90% tax applied on the withdrawal amount.
For example, if a user chooses to just straight withdraw 100 xGRO from their veGRO balance, they will only receive 10 xGRO and the other 90 xGRO will be retained by Growth DeFi and used as follows:
- 50% will be burned, supporting a continued reduction in the overall xGRO supply
- 50% will be sent to the Drip Pool (outlined in Option 2) to fund the 1% daily drip to stakers.
We believe Option 3 is much less desirable than Options 1 and 2. It will offer the worst overall return on the xGRO balance you hold. However, it remains an option nonetheless if people would prefer to sacrifice a massive amount of their xGRO holding for the community’s benefit.
Do I have to deposit the full amount of BNB or xPERPS to access my locked xGRO holding all in one go?
No, absolutely not! We appreciate many people may not have enough BNB or xPERPS to deposit all at once. Through xGRO Staking you can unlock your xGRO holding slowly over time if you wish, through multiple transactions, until you have accessed the full amount in your balance.
How do I stake my BNB-xGRO LP into The Cultivator?
You don’t have to, xCultivator does it for you. Once you deposit your BNB it will automatically be paired with your xGRO to create the LP, and deposited into The Cultivator. You can then just sit back and compound or claim your daily dividends.
Are there any other options available for me to access xGRO from my veGRO holding?
In Option 2, if I unlock my xGRO by depositing xPERPS, does it become liquid so that I can withdraw it?
No. The xGRO you unlock in Option 2 will remain permanently staked in the new Drip Pool, paying you xGRO dividends daily. The dividends can of course be withdrawn or compounded as you wish.
About Growth DeFi
Founded in 2020, Growth DeFi provides an advanced suite of products to blockchain protocols and investors, helping to increase their capital efficiency. For more info on Growth DeFi, please see our main website, or Perps. Otherwise stop by our Telegram channel to chat with our team.