The Inverse DAO Governance Token
INV is Inverse Finance’s governance token which you can stake for a hefty yield in Frontier. Stakers get non-transferable xINV in return which maintains their voting rights and accumulates INV staking rewards. INV and xINV are not exchanged 1-to-1 and xINV holders get their INV as they unstake. There are no locking periods.
All stakers can vote in our decentralized on-chain DAO governance and are eligible for interest sharing as DOLA MCAP reaches milestones.
INV gives voting power in the Inverse DAO. Therefore, INV token holders can directly control a number of important parameters and aspects of the Inverse treasury, products and operations. More information here.
Inverse Finance maintains a close working relationship with Bond Protocol by utilizing their Olympus Pro bond program. This allows for users to purchase INV tokens at a discount in return for supplying liquidity pool tokens or DOLA. The amount of INV tokens supplied to the bond program is continually monitored and optimized by the Policy Committee.
Staking INV as xINV entitles the holder to xINV staking rewards in the form of additional INV tokens. xINV stakers receive INV rewards continuously with every Ethereum block mined (roughly 6,400 times a day).
The rate of rewards is continuously monitored and optimized by the Policy Committee. INV emissions directed to xINV stakers will ALWAYS be higher than all INV emissions directed elsewhere. This ensures that xINV stakers are protected from dilution and own an ever increasing proportion of the supply.
The INV token does not have a coded hard capped supply. The social consensus from the start of the project was that there would never be an excess of 100,000 tokens in circulation. However, since the INV+ proposal (which represented a shift away from these tokenomics), the plan is to move to an "uncapped" total supply, allowing the Inverse DAO to expand the supply of INV token through on-chain governance votes. This ensures INV stakers can continue to be rewarded, while increasing the rate at which the team can grow DOLA within the DeFi ecosystem. This ensures maximized performance and competitive strength for Inverse DAO. The DAO retains control of the minting process via quarterly governance proposals even though it allows the Policy Committee to adjust the rate at which newly minted INV is distributed to stakers.
It must be stressed, that INV stakers will never experience dilution. Emissions to INV stakers will always be in excess of emissions to non-stakers, meaning stakers proportional ownership of INV will always be increasing. So while additional minting of INV (as controlled by the on-chain DAO) will inflate the INV supply, it will NOT dilute INV stakers.
No formal buyback policy is currently in place. The Inverse DAO has the ability to conduct a buyback of INV tokens using funds from the treasury. This has been done once before where $50,000 of INV was bought back from the open market, the proposal can be found here.
The Policy Committee is responsible for setting the reward rate for xINV as well as allocating INV for bonding campaigns. This ensures that INV rates are always optimized to accrue maximum value both to INV holders and to the Inverse DAO treasury. The Policy Committee is comprised of nine active Inverse DAO team members who will serve on the committee for a one year term beginning on the 4th of February 2022:
@Nour @patb @cryptoharry @nakamomo @CMeth @edo @naoufel @0xMT, @CMeth and @karm
Inactive or retiring committee members are replaced via a Policy vote. All Policy Committee decisions require a quorum of 5 members out of 9 to conduct a vote. The policy Committee can be dissolved or replaced by Inverse DAO governance, as with all enacted proposals.