A total of 1,000,000,000 LYRA have been minted, and will begin to become accessible starting on December 14th, 2021 at 00:00:00 UTC. The allocation of the total supply of LYRA is as determined in LEAP-7 as follows:
- 50% (500,000,000 LYRA) to the community as follows:
- 15% (150,000,000 LYRA) allocated to Traders. Trading rewards provide a direct incentive to use Lyra and if implemented effectively, can minimise the fees paid by traders as well as the risks incurred by LPs.
- 15% (150,000,000 LYRA) allocated to Liquidity Providers. Lyra needs liquidity to facilitate options trading. When options are purchased by traders, collateral must be locked to ensure that the option can be paid out if it expires in the money.
- 10% (100,000,000 LYRA) allocated to Security Module stakers. The Security Module is designed to secure Lyra's traders and liquidity providers in the event that the protocol becomes insolvent and cannot fulfil its obligations. This will become especially important in V2 when positions are not fully collateralised.
- 5% (50,000,000 LYRA) allocated to incentivise liquidity in the LYRA token, which will help create a healthy market.
- 3% (30,000,000 LYRA) allocated to Community Incentives. These incentives are as yet unspecified, and are to be allocated by the Council via the LEAP framework.
- 2% (20,000,000 LYRA) allocated to SNX stakers. Specifically, those who stake SNX on Optimism. This provides a strong incentive for stakers to move over and increase the sUSD supply, which Lyra relies on for trading/LP functionality.
- 20% (200,000,000 LYRA) allocated to the LyraDAO. The DAO aims to ensure the ongoing development of the Lyra Protocol and the general growth of the Lyra ecosystem.
- 20% (200,000,000 LYRA) allocated to the core team. This is enough to ensure long-term incentive alignment whilst allowing the community to own the majority of the project. In almost all cases, tokens are locked for six months from the contributors start date and then vest linearly over two years. The vast majority of team tokens (>19%) unlock between January 1 2022 and January 1 2024.
- 10% (100,000,000 LYRA) were sold to private investors.
- Private Investment Disclosures:
- Pre-seed: In February 2021, 3.4% of the supply was sold at a $15M FDV, implying a token price of $0.015. These tokens were sold from the investor allocation.
- Seed: In May 2021, 6.6% of the supply was sold at a $50M FDV, implying a token price of $0.05. These tokens were sold from the investor allocation.
- OTC: In September 2021, 0.5% of the supply was sold at a $100M FDV, implying a token price of $0.10. These tokens were sold from the DAO allocation.
- Strategic: In August 2022, 3% of the supply was sold at a $100M FDV, implying a token price of $0.10. These tokens were sold from the DAO allocation. This raise was announced in November 2022.
- Seed investor tokens are locked until January 1 2022 and then vest linearly over two years, with the final tokens unlocking on January 1 2024.
- Diversification round (August 2022) investor tokens are locked until September 1st 2023 and then vest linearly over 3 years, with the final tokens unlocking on September 1st 2026.