Polars Voting Opportunities
In previous articles, we reviewed the basic concept of polar tokens, got acquainted with the technical structure of the Polars platform, and learned how commission fees are distributed. We also introduced you to the POL governance token and the mechanisms for calculating rewards for user activity. In this article, we will talk about the possibilities for controlling the Polars platform using voting.
The first thing worth mentioning is that there are 2 types of voting on the Polars platform: custom voting and fundamental voting.
Custom votes include 3 types of votes: voting for an event, voting for which team is which unit within a specific event, and voting for changing the base volatility of polar tokens within a specific event. It’s worth noting that these votes are for a specific pair of polar tokens.
Fundamental votes include voting for adding a new pair of polar tokens with a new underlying asset as collateral, voting for changing the data oracle, voting for deploying the platform in a new network, voting for changing the size of commission fees on the platform, etc. These votes are for the protocol as a whole, and all POL governance token holders are encouraged to participate.
We’ll talk about fundamental polls later in the following articles, but we suggest dwelling on user voting in more detail.
User Votings
Event selection
A situation may occur during which several competitions take place simultaneously on the same date and time. The platform is designed in such a way that at one moment for a particular pair of polar tokens, only one event can affect the ratio of forces, prices and volatility. If a part of the community wants a specific event to influence on a specific date and time, they can nominate this event for a vote, and if the majority votes for it, then it will be taken into account in the distribution of forces between the teams. In order to nominate the desired event for voting, you must submit an application on the website, blocking a certain number of POL tokens in the smart contract. An event cannot be nominated for voting more than one week before the event takes place.
After moderation by the platform administrator, the events announced by the community will be presented on the voting platform. Under each event there will be a unique voting address where POL tokens can be delegated. The event that receives the highest number of votes in the form of tokens, but not less than 1,000,000 POL, will win. Voting ends one day before the start of the event. Delegated POL tokens are returned to the user that participated in the vote, at the end of the event.
Choosing a Team for a Unit
Initially, by default, the distribution of units by teams occurs in a random mode. If holders of BLACK tokens want a particular Unit to play specifically for BLACK TEAM, and this unit is randomly included in the WHITE TEAM, they can vote for the transfer of this unit from one team to the other. There is a unique voting address under each Unit on the site. If users want a unit to move or stay in the WHITE TEAM, they can delegate POL tokens to this unique voting address. If users want a unit to move or stay in the BLACK TEAM, they can delegate POL tokens to the relevant unique voting address. Voting will end 10 minutes before the start of the event. On which contract there are more delegated tokens, the unit will participate in the competition in that team. Delegated POL tokens are returned to the user at the end of this event.
Voting for volatility changes
So, the event has been selected, and the Units have been distributed to the corresponding teams by 2 previous votings. Initially, by default, one specific event at the moment can affect the price volatility of BLACK and WHITE tokens by no more than 5%. That is, if the WHITE TEAM wins in a particular competition, the WHITE token will grow by about 5%, and the BLACK token will fall in value by about 5%. 5% is the default minimum volatility indicator. But if the event is important for users (for example, the final of the World Championship, etc.), then users can increase the effect of this event on the volatility of BLACK and WHITE tokens. This vote takes place before the start of a specific event. There are two unique addresses under each event: the address of the increase in volatility vote, and the address of the vote for the decrease in volatility. The step of increasing volatility is 5%. In order to increase or decrease the volatility of BLACK and WHITE tokens by 5% within a specific event, it is necessary to delegate POL tokens to specific voting addresses. Each 5% is worth a certain amount of tokens. As the level of change in volatility increases, so does the number of tokens required for delegation during voting. For example, to increase or decrease volatility by a specific number of percent, you need to delegate to the appropriate addresses:
5% — 100,000 tokens
10% — 500,000 tokens
15% — 2,000,000 tokens
20% — 6,000,000 tokens
25% — 12,000,000 tokens
30% — 24,000,000 tokens
35% — 48,000,000 tokens
40% — 96,000,000 tokens
45% — 200,000,000 tokens.
Within one event, the community can increase / decrease the volatility of tokens by no more than 45%. Therefore, the maximum volatility can be 5% (minimum by default) + 45% = 50% and the minimum volatility can be 50% (maximum) -45% = 5%. Since tokens can be sent simultaneously to addresses of increasing and decreasing volatility, the difference between them is taken into account in the voting results. For example: 45,000,000 tokens were delegated to the address of increasing volatility, and 8,000,000 tokens were delegated to the address of decreasing volatility. The overweight of the address of increasing volatility was:
45,000,000–8,000,000 = 37,000,000, which corresponds to a 30% increase in volatility. Consequently, the volatility within this event will be at 35% instead of the base 5%.
As we mentioned in the article on farming mechanisms, users are motivated to vote on the Polars platform, as they are rewarded with governance tokens for their activity in the field of user and fundamental voting.10% of all POL tokens that are intended for custom rewards (140,000,000 POL) is intended as a reward for participating in any type of voting. For participation in each vote, 0.1% of all remaining tokens intended for voting rewards are distributed among the voters. For example, during the first vote, 14,000 tokens will be distributed among the voters (0.01% of 140,000,000 POL), in the second vote, 13,998.6 tokens (0.01% of 139,986,000 POL) will be distributed, etc.
None of the presented types of voting on the Polars platform involve the waste of tokens. All voting takes place by delegating governance tokens to the voting smart contract. After the end of the voting, the delegated tokens can be returned back to the user.
Polars
The new DeFi platform for creating secure polar tokens, the price of which depends on the results of specific external events. Within the POLARS platform, users can buy, sell and exchange polar tokens, as well as participate in the distribution of the platform’s commission income.
