🪙CAD Token and esCAD Staking

$CAD is the platform's utility and governance token. Token holders acquire a range of benefits and advantages from both Cadence Protocol and Symphony.

Overall CAD and esCAD Utility

Cadence's tokenomics are built to provide the most value to the CAD token holders, which serves as the projects main utility and value capture mechanism. As Cadence evolves, the value of the CAD token will increase with the extra use-cases from Symphony integration.

Utility of the CAD token includes:

  1. 100% of fee revenue redistributed to CAD and CLP stakers

  2. Governance voting rights

  3. Long-term increasing share of protocol through the exit fee mechanism

  4. Staking benefits for traders such as increased incentives and rewards

  5. Referral program rewards

  6. Solvers must stake CAD to participate (Symphony)

  7. Gas payment token via Account Abstraction (Symphony)

  8. Other unique strategies and products in the future (Symphony)

Cadence Protocol Tokenomics

CAD Staking

Staking on Cadence is built with a system that benefits our community of long-term holders in mind. This will ensure maximum value capture and sustainability for our long-term stakers.

Staking on Cadence intends to:

  1. Incentivize and reward long-term stakers.

  2. Give back 100% of protocol revenue to stakers.

  3. Offer security from wash-trading and short term trading effects.

  4. Reward traders through incentives while balancing the health of long-term stakers.

To stake your CAD tokens: https://app.cadenceprotocol.io/#/earn

After staking CAD, you will receive a staked esCAD token. Note that the balance for this will return your total staked amount including any esCAD tokens and Multiplier Points.

Staked CAD receives Escrowed CAD, Multiplier Points, and CANTO Rewards

To learn more about Escrowed CAD and Multiplier Points, refer to the Vesting Rewards page.

A portion of fees, constituting 30% from swaps and leverage trading, is transformed into CANTO and allocated to staked CAD tokens. If you are staking on Canto, you will receive CANTO accordingly. It's important to note that the distributed fees are calculated post the deduction of referral rewards and network costs of keepers, typically accounting for around 1% of the total fees.

Token Supply

The supply of CAD can be viewed on the Dashboard.

The increase in circulating supply will vary depending on the number of tokens that get vested, and the amount of tokens used for marketing / partnerships. The forecasted max supply is 250 million CAD Tokens.

Minting beyond the max supply of 250 million is controlled by a 28 day Timelock. This option will only be used if more products are launched and liquidity mining is required.

Floor Price Fund of Cadence Protocol

The CAD token has a floor price fund in CANTO and CLP.

CAD/CANTO liquidity is provided and owned by the protocol, the fees from this trading pair will be converted to CLP and deposited into the floor price fund. Additionally, CSR rewards will go towards the Floor Price Fund which is viewable on the Dashboard.

The floor price fund helps to ensure liquidity in CLP and provide a reliable stream of CANTO rewards for all staked CAD. As the floor price fund expands, it can be employed for purchasing and burning CAD when the ratio (Floor Price Fund) / (Total Supply of CAD) falls below the market price. This ensures a minimum price for CAD in relation to ETH and CLP.

The existing floor price fund is distributed across several contracts, with plans for gradual consolidation into a singular contract available in our Contracts section.

In necessary circumstances, the floor price fund may be utilized to cover Bug Bounty submissions.

Buying CAD

Steps to purchase CAD can be found on the Buy CAD Page.

Transferring Assets to Canto

For bridging between Canto and other chains you can use Canto Bridge.

More information on how to setup Canto on your wallet and other bridging protocols can be found in the official Canto Docs.

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