On the 9th of September, the ease Tokenswap will be available. In the preceding week, the ease team will mint the new $EASE token.
In this article, we’ll describe the tokenomics, token details, the swapping process, and the accompanying changes. The $Armor holders can prepare accordingly.
$Armor becomes $EASE, 1:1.
The final step in the previously announced rebranding of Armor to Ease is the swap of the tokens that power the systems.
There has been a discussion on the forum followed by a snapshot vote about whether to maybe introduce a 1:10 swap. The majority of voters and votes were against, so 1 $Armor will be swappable for 1 $ease as planned.
The total supply vs the burnt tokens
In January 2021 the $Armor token was launched and 1 billion tokens were minted. Later that year 250m tokens were sent to the Ethereum burn address.
Another forum discussion started about whether to ‘bring those tokens back’ as they could be used for marketing, running costs etc., or to leave them burnt.
As the feelings were mixed, a 3rd option was decided upon:
- The new $ease token contract will mint 750m $ease at launch in September
- There is an option built in to further mint a maximum of 250m tokens.
- This can only be done after a DAO vote with positive results.
This way the possibility for a recovery of the burnt tokens is available, but the decision to actually do so can be taken if the need and consensus arise at a later moment.
The current and new tokens
Currently, there are two types of tokens: $Armor and $vArmor. After the launch of the $ease tokenomics, there will be two new tokens added: $EASE and $gvEASE.
- $Armor: this is the original governance token of the Armor ecosystem and is tradeable.
- $vArmor: this is the staked version of $Armor (which can be obtained at https://armor.ease.org/govern) and is the token that is needed to vote on DAO proposals. It generates APY, so the underlying $Armor tokens per $vArmor grow.
- $EASE: this is the unstaked and tradeable token for the ease ecosystem.
- $gvEASE, this is the deposited and Swiss army knife version of the $ease token, which has special properties, powers and possibilities:
It cannot be traded, it can be used to vote on DAO proposals, can be used to lower possible costs after a hack, can be leased out for bribes, and it grows! All details can be found in the dedicated gvNomics announcement here.
Once the token is live $Armor and $vArmor token holders will be able to swap their tokens for the new ones. Note the following parameters:
- The swap is 1:1. So you will receive 1 $EASE or 1 $gvEASE for every $Armor. The $gvEASE will start ‘growing’ from the start. The exact swap rate for $vArmor is dependent on the current $vArmor -> $Armor conversion rate, currently 1.177.
- The token swap is open-ended, there is no hurry, though the incentives for the current tokens will end and the new tokens will ‘grow’, so it is recommended to swap soon.
- Both of the current tokens can be swapped for both of the new tokens.
So there are 4 possible token swaps possible:
- $Armor -> $EASE: this is best if you want to keep tradeable and movable tokens
- $Armor -> $gvEASE: this is best for those that want to take advantage of all of the aforementioned functions of the $gvEase tokens. This is just a combined transaction: $Armor -> $EASE -> $gvEASE.
- $vArmor -> $EASE: for those who currently have staked tokens, but want to move them to a new address before depositing them, or who want to trade them.
- $vArmor -> $gvEASE: for those who are already generating yield on their $Armor tokens. Also for those actively voting on DAO proposals, who wish to keep on doing so. Instead of earning extra $Armor tokens, they can earn $ease tokens (bribes) and their $gvEase token amount will grow from April 14th, 2022.
Armor rewards are ending
Once the swapping possibility is live the current rewards are ending:
- Liquidity rewards (in $Armor tokens) for supplying liquidity to the Uniswap and Sushiswap are ending.
You will still earn trading fees on those platforms, but no extra $Armor tokens.
- The yield on the $vArmor tokens will not grow any further. Users will still be able to unstake (swap) their $vArmor later on. However, the swapping rate will be fixed and not grow more.
It is therefore best to swap your $vArmor -> $gvEASE as soon as possible to start your $gvEASE growth as soon as possible.
Once the swapping is live we will post another detailed post with instructions on how to do so.
The next posts will also include detailed instructions on how to:
- stake your $gvEASE tokens to lower the costs in case of a hack.
- lease your $gvEASE tokens for bribes
- bribe $gvEASE holders so you can use their tokens to lower the cost of your favourite protocol!