Introducing Honey Farms
This week, Honey Labs is introducing the first suite of liquidity solutions for non-fungible tokens — NFT Farms.
You’ve probably all heard of DeFi and yield farming: the act of staking crypto assets to receive rewards or interest. This mechanism was pioneered by Synthetix to incentivise new users to provide assets onto the platform by rewarding them with $SNX. Since then, it has evolved into a powerful strategy for growing protocols. Hence, our decision to combat network effects with farming incentives.
How does it work ?
Farming with LP (Liquidity Provider) tokens makes a lot of sense, however this is much trickier with NFTs, where you are not providing liquidity.
Our approach enables us to decentralise the protocol, and benefit its earliest adopters, without sacrificing long-term tokenomics. To do this, we’re creating two tokens, $pHONEY and $HONEY.
$HONEY : The native asset of the protocol, will have an IDO in Q1 of 2022 and will serve as the governance token, as well as liquidity incentive. $HONEY can be staked in our pools to receive fees generated by the protocol.
That means the yield on staking $HONEY is cashflow, and not inflationary.
$pHONEY : Is created for the sole purpose of rewarding early adopters.
Ahead of the IDO, users of the protocol will earn $pHONEY. The token will be redeemable for $HONEY at the time of the IDO, as $pHONEY stakers will receive 10% of all the raised liquidity, simply for having used the platform.
How will the Farms work?
Leading up to our IDO, we are partnering with Solana NFT collections to distribute $pHONEY to their respective holders, that stake their NFTs in our pools. We hope that we can distribute and airdrop this allocation of our liquidity to as many communities and projects as possible.
We will be announcing partnerships over the coming weeks. If you are a member of one of our partners’ projects, simply go to our Farms, select your NFT project, and stake your NFT. You will immediately start to receive $pHONEY, which can be claimed at any time.
When can I farm with my NFTs ?
[today👀]
We’re happy to announce that we will be launching the first NFT farm with our partners at Rogue Sharks, who have believed in us since day 1.
If you own a Rogue Shark, you will be able to stake them to earn $pHONEY, starting December 6th, 2022 at 8:30pm UTC
