with Early Unlock Option

Details:

Main idea of this option is to give a Bonus for loyal holders that unlock their tokens later or add them to a locked LP at launch, while creating deep liquidity using pre-earnt fees for POL on day 1, while distributing this POL to the community at a later stage.

• Keep vesting at 12 months &
  • Implement a “Early-Unlock” mechanism that allows for immediate full unlocks at day 1 but at a penalty, penalty becomes linearly less over time.
  • Establish mechanisms for penalty redistribution as LP incentives.
  • Implement an “Early-Unlock” mechanism that allows for immediate full unlocks at day without penalty if the users choose to lock their unlocked tokens into the POL for a given time.
  • Create a POL with pre-earnt fees.
  • Incentivize LP participation to unlock early & add additional LP incentives from the Treasury.
  • Redirect part of fees earnt in near-term to additionally incentivize LPs
• Implementation:
  • Develop smart contract functionality for early unlocks and penalty calculations, audit everything via an independent auditing firm and launch. (Estimated time: 2-3 months)
• Why: Incentivizes users to provide liquidity while discouraging immediate liquid token unlocking.
• Pros:
  • Offers flexibility for token holders needing early access.
  • Penalty system deters premature unlocking, reducing liquidity supression.
  • Penalties can be used to benefit the ecosystem (e.g., rewarding LPs).
• Cons:
  • Adds complexity to tokenomics and smart contract implementation.
  • Requires development work to set up penalty mechanisms.
  • May be viewed unfavorably by holders opposed to penalties on their holdings.

Option 3 Scenario:

• A token holder has 10,000 SYMM tokens vested over 12 months.
• Early Unlock Penalty:
  • If they choose to unlock early, they incur a 40% penalty.
  • They receive 6,000 SYMM tokens immediately.
  • The 4,000 SYMM penalty is redistributed to LPs or long-term holders.
• Outcome:
  • The token holder gains immediate liquidity but at a cost if they dont take it in form of an LP.
  • Incentivizes users to unlock early to provide additional liquidity, bolstering the liquidity pool.
  • LPs or long-term holders benefit from the redistributed penalties.
  • Early unlocking is discouraged while still being available.

Option 3 Example:

• Scenario:
  • A token holder has 10,000 SYMM tokens vested over 12 months.
• Early Unlock Penalty:
  • If they choose to unlock early, they incur a 20% penalty.
  • They receive 8,000 SYMM tokens immediately.
  • The 2,000 SYMM penalty is redistributed to LPs or long-term holders.
• Outcome:
  • The token holder gains immediate liquidity but at a cost.
  • LPs or long-term holders benefit from the redistributed penalties.
  • Early unlocking is discouraged while still being possible.