A brief overview over Lyra
The purpose of Lyra , a decentralized autonomous organization (DAO), is to plan, develop, and oversee a financial derivatives system. This section explains the DAO’s organizational structure as well as how Lyra governance produces an autonomous and decentralized environment.
There are four parts that make up the DAO:
Governance: the framework that makes it easier for service providers, the protocol, and the Treasury to communicate with one another.
Token: the ERC20 token that permits the DAO’s decentralized governance.
Treasury: the money utilized to keep and enhance the protocol.
Service Providers: These are independent organizations that look for money to keep the protocol updated and improved.
Let’s take a look at Governance part!
Token rights
Holders of LYRA tokens gain governance rights according to their balance by staking their tokens to receive stkLYRA. The stkLYRA token initially has two powers linked to it:
The ability to make fresh proposals is known as the proposal right.
Right to vote: Allows for the voting of already-made propositions.
Assigning
Holders have the option to assign one or both of their governing authorities. By allowing less skilled participants to transfer their voting power to more knowledgeable members, delegation allows Lyra Governance to maintain the advantages of a council-based model without adding the implementation difficulties that come with off-chain methods.
LEAPs
Any proposal affecting the protocol, treasury, or governance structure is considered a LEAP. The EIP and BIP industry standard frameworks served as an inspiration for its adaptation. Protocol modifications (such as adding additional markets and altering settings) are one example.
Let’s move on to with Token!
50% of the allocation goes to the community.
The following distribution of 500,000,000 LYRA was made to the community:
Traders: By offering trading rewards, traders can reduce the risks taken by LPs and the fees they pay. This encourages users to utilize Lyra.
Liquidity Providers: In order to enable options trading and guarantee the accessibility of collateral for options payouts, Lyra needs liquidity.
Community Incentives: The LEAP framework is used to provide incentives through on-chain governance.
20% of Treasury Allocation
The Treasury was given 200,000,000 LYRA to ensure the continued expansion and improvement of the Lyra Protocol and ecology.
The next point is Treasury on Lyra
All of the assets under Lyra DAO ownership are housed in the treasury. The brief executor is in charge of the Treasury.
Lyra Funding
The DAO has raised money from individual investors multiple times. The information is enumerated below.
Pre-seed: A $15 million First Deposit (FDV) sale in February 2021 of 3.4% of the supply suggests a token price of $0.015. The investor allocation was used to sell these tokens.
Seed: At a $50 million FDV in May 2021, 6.6% of the supply was sold, resulting in a $0.05 token price. The investor allocation was used to sell these tokens.
OTC: 0.5% of the supply was traded in September 2021 for a $100 million FDV, which suggests a $0.10 token price. The DAO allocation of these tokens was sold.
The last of these tokens will unlock on January 1, 2024. These tokens were locked until January 1, 2022, after which they will vest linearly over the next two years.
Strategic: A $100 million FDV sale in August 2022 of 3% of the supply suggests a token price of $0.10. The DAO allocation of these tokens was sold. November 2022 saw the announcement of this rise.
The last of these tokens will unlock on September 1st, 2026. The tokens are locked until September 1st, 2023, after which they will vest linearly over the next three years.
Continue with Service Producers!
An essential function of service providers is to support the development and upkeep of the Lyra ecosystem. Any person or organization can submit a proposal to the governing system in order to apply for membership as a service provider for the Lyra DAO.
Getting into the Service Industry: Those who are interested in becoming service providers should draft a proposal using the LEAP framework. The following should be outlined in detail in the proposal:
A thorough explanation of the service(s) to be rendered and how they would help the Lyra ecosystem is provided in the service description.
Request for Funding: a detailed explanation of the expenses and resources required, together with a convincing rationale for the proposed amount of funds.
Value Proposition: A justification of the proposal’s potential to improve the Lyra ecology that falls into two categories:
Direct Value: Improvements like higher trade volume, liquidity, or platform utilization that have an instant influence on the Lyra ecosystem.
Contributions that foster sustainability and long-term growth, such as grants, partnerships, ecosystem development, or educational programs, are referred to as indirect values.
Team Background: A synopsis of the team’s background, credentials, and accomplishments that show they can do the suggested service.
Schedule and Benchmarks: a suggested project schedule that outlines important benchmarks and anticipated completion dates.
Reporting and Accountability: A strategy for updating the Lyra community and governance system on developments, upholding transparency, and guaranteeing accountability.