veBoba tokenomics


GM sers - we’re proposing to enable the newly designed ve tokenomics for the Boba token. This has been a long time coming with the support of Information Token DAO & Redacted Cartel.

Blog post here

Why change the current tokenomics?

  • Token not fully integrated into the Boba ecosystem
  • No token flywheel
  • WAGMI incentives were centralized and extremely cumbersome to implement
  • Low conviction holders are rewarded
  • High token inflation (no real value accrual)
  • ‘Staking’ is not staking - nothing is at stake

ve tokenomics technical details

  1. Enable vote escrow mechanism for Boba token
  2. Boba token holders can now lock Boba:

3 months lock - receive 0.25 govBoba

6 months lock - receive 0.5 govBoba

1 year lock - receive 1 govBoba

  1. Voting power is stored in a NFT and is liquid (can be sold/delegated)
  2. Longer lock > more voting power

What to vote on?

Lockers can vote on any of the following:

  • (previously WAGMI) emissions [Gauges]

  • Developer grants

  • Boba infrastructure proposals

  • DAO proposals

Advantages of new tokenomics

  • High conviction players get a say in where $BOBA emissions go / what builders grow the Boba ecosystem
  • Less liquid token supply / Less sell pressure
  • Reward long term holders not low conviction
  • Flexibility for token holders to forego voting
  • Enable bribe mechanics

What happens to existing 5% staking?

Existing 5% staking will be removed in favor of govBoba

  • Network currently makes little revenue
  • 5% are being paid out from treasury

Once network makes revenue:

  1. Pay out share of network revenue to Boba lockers in ETH or USD

  2. Use share of revenue to buyback Boba and lock for maximum lock duration to retain voting power on the network & reduce liquid supply

  3. Ultimately make Boba deflationary through increased block space demand across all Boba L2s

Redacted Cartel Hidden Hand marketplace

  • Token holders can forego voting rights and delegate their veNFT
  • Delegate veNFT voting power on Hidden Hand marketplace
  • Earn protocol native tokens as bribes for voting rights

More info on Redacted Cartel here


If I understand correctly, the proposal is to cancel this 5% staking paid in boba (valued at 0.36$ at this moment) for a new NFT (govBoba), without value and in addition we have to lock our tokens for a year?

You state some reasons for changing tokenomics…all of which I agree with, but the solution you propose does not change anything!
Please, expose in a clear way what is the rodmap, with its precise updates and give the community information about what you expect from the future, you are the vanguard of the web3, of the future of blockchain, respect your holders who are the ones who have funded this project and reward those who after so many years we continue to support you.

We need more communication from the team!

I can understand that right now the blockchain is not economically viable (no revenue from tx´s) but this alternative it makes no sense from an economic viewpoint, for holders.

What we need is more dapps deployed, more Tx´s at blockchain, more push on marketing, more developers onboarding, any mention from Vitalik or other big players about Boba…

What is the current revenue stream for Boba?

What is the % share of the revenue that will be paid out? This should not be hard to give a concrete number… and should not be something like, “Oh we will vote on that later…”

So, staking, it seems is dead because nothing is at stake, for stakers? Tell that to those of us that had our stacks diluted by 4.25x, roughly, when Boba asked for more tokens and then watched the token price dump well below OMG rates. Not to mention the insufferable WAGAMI phase… that was deployed without a vote…

Are we at least going to see some of the slim revenue from the network fees in USD right off or are we going to have to wait until the team decides there is enough revenue to share with us?

How are you going to make Boba deflationary, are you burning tokens or what? You simply say deflationary through increased block space and that tells us exactly nothing.

What is the real point of buying back Boba and locking it up to “retain voting power…” why not burn. Again, Boba’s team, in general, seems to consistently want more control of the token.

Why aren’t you proposing burning a % of network fees along with paying out fees in USD or ETH instead of simply saying a bunch of stuff that is about incoherent, even to someone that has been around this space a while. Frankly, you do not really need ve to vote on the stuff you are proposing… you are just adding a level of complication and hoping it pumps the price it seems…

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one way imo to generate revenue is incentivize more people to bridge over, take an example of arbitrum bridge week, the volume was mad. I did mention utilizing nfts as a reward for bridging a part of marketing in my proposal. One key problem with bridging funds over to boba is that, there’s not much things to do and if there’s decent activities on their nft marketplace, people would have a reason to keep their funds there. Just look at other L2 on nfttofu vs boba’s you can see a huge discrepancy between them. Just my take.