🍩$bdBLB

Vested Rewards and Governance

All about $bdBLB

$BLB is the native token of the Blueberry protocol. Every two weeks, newly issued $BLB tokens are distributed as vested rewards called $bdBLB (Bonded Blueberry) to those providing liquidity by holding bTokens.

$bdBLB can be redeemed 1:1 for $BLB after a one-year vesting period. However, users have the option to unlock their $bdBLB sooner by paying an "early unlock penalty" consisting of two parts:

Redistribution Penalty - A percentage of the $BLB tokens is deducted, with the deducted amount redistributed to remaining $bdBLB holders. This penalty starts at 25% and decreases linearly to 0% over the year.

Acceleration Fee - A percentage of the initial $BLB value is paid in USDC to the protocol treasury to provide liquidity for $BLB. Like the redistribution penalty, this fee starts at 25% and decreases to 0% over the year.

The percentage penalties are designed to incentivize long-term participation while still allowing liquidity for those who want to exit early. Higher $BLB prices mean lower effective fees for early unlocks.

In the first 60 days after launch, there is a "Lockdrop" period where liquidity providers can earn boosted $bdBLB rewards subject to a 1% withdrawal fee. This helps bootstrap liquidity in a fair and decentralized manner aligned with the long-term growth of the protocol.