Flamingo Finance has unveiled new updates regarding the imminent launch of FLOCKS, a transformative development of the FLUND concept. Alongside this, the company has also shared information about FLUND migration details and the decision to eliminate exit fees.
FLOCKS, a single-sided staking option, aims to enhance the existing FLUND model by offering incentives geared towards long-term holding, as opposed to short-term trading. Holders can look forward to receiving a proportion of Flamingo’s fees in the form of dividends. Furthermore, FLOCKS holders stand to gain voting weight once the team integrates governance capabilities into the system.
The initial phase of the FLOCKS migration will only be open to existing FLUND holders. This exclusive opportunity will last for approximately one week and assures investors a 1:1 ratio of FLM (from FLUND) to FLOCKS. However, migrating once the epoch has commenced will result in a gradually diminishing conversion rate, as dividends accumulated by the pool are factored into the swap.
Flamingo advises FLUND users who wish to optimize earnings prior to migration to remain in FLUND until the migration window is open, and then migrate before the commencement of Epoch 1 to maximize dividends.
Users intending to enter FLOCKS through other tokens will have to wait until Epoch 1 begins to make a purchase. Similar to post-migration window FLUND migrations, FLOCKS purchase prices will also include a share of any dividends earned during the epoch at the time of purchase.
Flamingo recently completed the third of four major planned adjustments to its liquidity pools – the Wave 3 modifications. As a result of changes in token distributions, FLUND now derives income from multiple token sources that are not converted to FLM. Instead of amending the contract to address this, the Flamingo team has elected to distribute these assets as part of the Epoch 1 dividends.
For FLUND holders who choose not to migrate, the exit fee has been abolished. FLUND can now be sold on Flamingo without incurring additional fees. However, the team has announced that FLUND purchases will be suspended, making all transactions irreversible.
The launch of FLOCKS is timed to coincide with the start of the Asset Support Initiative. This initiative aims to partially compensate users of f- and p-assets who were affected by the Poly Network bridge exploit. Affected users can expect to recoup 50% of their losses in FLOCKS over two years, after migrating the affected assets via the Action Center.
FLOCKS airdrops from the Asset Support Initiative will commence during Epoch 2. The exact start time for the distributions will be announced nearer to the date.
For additional details, please refer to the original announcement on the Flamingo Finance blog.
