PERP Tokens

Overview

PERP is Perpetual's native protocol token and is issued by Perpetual DAO.

The PERP token is primarily a utility token designed to facilitate and incentivize the decentralized governance of the protocol. As such, holders of PERP tokens accrue voting rights proportional to their holdings.

To incentivize governance participation, we have designed the following incentive structure:

  1. Staking rewards & trading fee rewards increase > 2. PERP token value increases > 3. PERP token awareness increases > 4. Protocol awareness increases > 5. Trading volume increases > 6. Trading fees increase > Back to 1.

In addition, the Perpetual Protocol team marketing efforts, as well as programs such as Transaction Mining, feed into this loop.

Token specs

Token Name

Perpetual Protocol Token

Token Ticker

PERP

Token Type

ERC-20

Token Supply

150,000,000

Use Cases

  • Governance Once PERP token holders have staked their tokens, they can then use their staked PERP tokens to vote on or propose new ideas that can be used to improve Perpetual Protocol. Before the on-chain governance voting platform is ready for PERP token holders, core protocol contributors will guide critical decisions. We believe it’s important to keep governance nimble in the early days of the Perpetual Protocol. You can learn more about the governance plan here.

  • Staking PERP holders can lock-up, or “stake,” their PERP for a fixed amount of time in the Staking Pool. In return, stakers receive rewards -- you can learn more about how staking works here.

PERP Token Distribution

Lot

Description

Balancer Liquidity Bootstrapping Pool (LBP)

  • 7,500,000 PERP tokens (5.0%)

  • Balancer LBP token launch, held September, 2020.

Seed investors

  • 6,250,000 PERP tokens (4.2%)

  • Binance Labs, invested in early protocol development in 2018. Note: tokens are vested; 25% unlocked at mainnet launch; see release schedule below.

Strategic investors

  • 22,500,000 PERP tokens (15%)

  • Strategic investors, to the extent they fully exercise their rights to purchase PERP tokens. Note: tokens are vested; 25% unlocked at mainnet launch; see release schedule below.

Team & advisors

  • 36,000,000 PERP tokens (21%)

  • Team helps launch the initial version of Perpetual Protocol and other initiatives beneficial to the protocol. Note: tokens are vested; progressive unlock begins 6 months after mainnet launch; see release schedule below.

Ecosystem & rewards

  • 77,750,000 PERP tokens (54.8%)

  • Ecosystem and rewards, which will benefit traders, stakers, and community developers who participate in the Perpetual Protocol ecosystem. As Perpetual Protocol transitions to community governance, distribution of ecosystem rewards will be decided by the Perpetual Protocol community.

The total PERP token supply is set at 150,000,000. The token supply can be inflated via two mechanisms, both of which have a low chance of occurring: Governance may decide to mint more tokens; the insurance fund is exhausted and PERP are minted to make up the shortfall.

PERP Release Schedule

Different lots of PERP tokens unlock at different times, according to their purpose.

Token release schedule (excluding Ecosystem & Rewards)

  • Balancer Liquidity Bootstrapping Pool

    🔓 No lockup -- tokens are liquid upon purchase.

  • Team and advisors

    🔒 Team tokens begin unlocking 6 months after mainnet launch at a rate of 2.1% per 3-month period.

  • Seed and strategic investors

    🔒 Seed and strategic investors receive 25% of their tokens at mainnet launch, and 25% per 3-month period afterward.

  • Ecosystem and Rewards (not shown in chart above)

    🔓 Before the transition to community governance, 10% of these PERP tokens are unlocked. 🔒 After the community governance transition, all of them are unlocked.

Incentivization programs

In addition to the main staking pool, the Perpetual Protocol team plans to implement additional programs to encourage use of the trading platform and holding of PERP tokens.

Transaction Mining

A major proposal for getting more PERP tokens into the hands of traders and community members is through transaction mining. Transaction mining will start after mainnet launch and transaction miners will enjoy various rebates when trading on Perpetual Protocol, such as rebates on trading fees and funding fees. Please see Transaction Mining for more information.

Balancer LP Rewards Program

Perpetual Protocol has set up a rewards program to incentivize PERP token holders before transaction mining comes online. The program began after the Balancer Liquidity Boostrapping Pool and we plan to continue it for a period after mainnet launch. The program will wind down with progressively reduced rewards to encourage stakers to migrate their tokens to the mainnet staking pool.

Learn more about the program here!

Comparison with other projects

Below is a Google Spreadsheet with PERP’s new token distribution and a comparison to other recently launched IDO projects. Token Distributions of Related Projects