Managing veRWA
Last updated
Last updated
All RWA transactions and asset management can be done on the RWA dApp on the re.al site, including buy and sell (swapping through the pools on Pearl), claim, lock, unlock and other management features.
veRWA revenue is claimed in the RWA dApp on the re.al site. Proceeds accrue by block and can be claimed at any time. All rewards distributions to veRWA are paid in in reETH.
The account-based accrual system makes it easy to claim rewards as all veRWA NFTs held in one wallet will consolidate into one claim for the user, accessible on from the re.al dApp.
Proceeds left unclaimed for more than 180 days will be redistributed to other veRWA holders.
Locking RWA into veRWA entitles users to a percentage of re.al revenues proportional to the veRWA voting power.
Locks can be created at any length of time between one and 36 months, with voting power going up proportionally based on lock duration.
Simply select the amount of RWA to lock and the duration to create a new veRWA position.
veRWA locks can be extended at any time, up to the maximum 36 months, resulting in increased veRWA voting power.
Consequently, with increased duration and voting power, the vesting period to unlock the underlying tokens also extends and the unlock penalty increases.
To increase the number of RWA underling a veRWA position, the users must:
Create an additional new lock (example above) with the tokens they wish to add to the existing veRWA position
Merge the new veRWA into the existing veRWA
The new lock will default to the higher lock duration of the two locks being merged.
20 RWA locked for 36 months merged into 4,500 locked for one month will create a position of 4,520 RWA locked for 36 months.
The direction of the merge is irrelevant.
veRWA can be unlocked at any time, however the user will pay a penalty (fee) to access the underlying tokens early. The unlock fee is 50% at 36 months and reduces linearly by block based on the lock time remaining.
| veRWA LOCKED | LOCK REMAIN | PENALTY | RWA RECEIVED | RWA BURNED |
|---|---|---|---|---|
200 | 36 months | 50% | 100 | 100 |
200 | 24 months | 33.33% | 133.33 | 66.67 |
200 | 12 months | 16.67% | 166.67 | 33.33 |
200 | 6 months | 8.33% | 183.33 | 16.67 |
200 | 1 months | 1.39% | 197.22 | 2.78 |
RWA tokens forfeited to unlock early are burned and can never be minted again.
An alternative to unlocking early is vesting, which allows the user to withdraw the unlocked, underlying RWA after a vesting period that's equal to the lock duration. No rewards are accrued during vesting.
Like other veNFTs, veRWA can be managed by the holder to suit their needs. The locked tokens can split (to sell or unlock a portion of the total position early), transferred to another wallet or user or merged to increase the lock amount.
veRWA can be delegated by its owner to other wallets which will now have the right to claim the revenue eligible to that veRWA.
