Protocol Update: Status of zJOE returns after sMOE start
In this article, we will explain the latest updates on the mechanics of zJOE, which has evolved into a cross-chain return token that collects returns from multiple networks and different projects using LayerZero technology.
To understand this better, let’s take a brief overview of the assets and distribution system that generate returns for zJOE;
zJOE currently holds 10,166,500 $JOE and can stake JOEs on the Avalanche, Arbitrum and Mantle networks at different rates depending on how high the return is. zJOE also owns a substantial portion of the MOE tokens staked in MerchantMoe on the Mantle network. zJOE collects the returns on all of these products and distributes them to its stakers.
When the JOE is staked as sJOE on TraderJoe on the Avalanche and Arbitrum networks it yields USDC
When the JOE is staked as sJOE on TraderJoe on the Avalanche and Arbitrum networks, the USDC yields generated by zJOE from these networks are linearly distributed to zJOE and LVTX stakers for 15 days following the demand in a decentralized manner via LayerZero technology. The scheduled demand and distribution process takes place on the 1st and 15th of each month to ensure accurate calculation of monthly returns. In the Avalanche and Arbitrum network, 88% of the returns are distributed to zJOE stakers, 4% to Protocol and 8% to LVTX stakers.
When the JOE is staked on MerchantMoe on the Mantle networks it yields MOE
On the Mantle network, when JOEs are staked on MerchantMoe, 70% of the returns are used to increase the number of MOEs and are added to the staked MOEs. 30% are sold for USDC to be distributed to zJOE stakers, decentralized via LayerZero technology, and distributed linearly to zJOE and LVTX stakers for 15 days following demand. The scheduled demand and distribution process takes place on the 1st and 15th of each month to ensure accurate calculation of monthly returns, where 88% of returns are distributed to zJOE stakers, 4% to Protocol and 8% to LVTX stakers.
When the MOE is staked as sMOE on MerchantMoe and Mantle networks it yields mETH
On the Mantle network, zJOE’s MOE from the first MerchantMoe airdrop and MOEs from JOE staking returns, earning mETH as sMOE returns. The mETH earned is transferred to the Avalanche network by selling it for USDCs on the 1st and 15th of each month, and these USDCs are distributed linearly over the following 15 days, with 88% to zJOE stakers, 8% to LVTX stakers and 4% to Protocol.
How are the returns of voting bribe rewards on MerchantMoe distributed?
In the Mantle network, MOEs from voting bribes belong to LVTX and are staked by adding them to MOEs on MerchantMoe to generate returns with sMOE. The mETH earned is sold for USDCs on the 1st and 15th of each month and transferred to the Avalanche network, and these USDCs are distributed linearly over the following 15 days, 45% to zJOE, 45% to LVTX and 10% to the protocol. This guarantees a win/win when growing the MOE bag in different ways.
On the Mantle network, bribes received as other protocol tokens (LEND, KTC, …) are staked in the staking mechanisms of the respective projects and all proceeds are converted into USDCs and transferred to the Avalanche network on the 1st and 15th of each month, which are distributed linearly over the following 15 days, 90% to LVTX and 10% to the protocol.
Due to the dynamic structure in DeFi, changes, additions and subtractions will be made in the future to increase efficiency.
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