FAQ
What is veDelegate?
veDelegate is a delegation service that allows users to stake their web3 governance tokens. It automates the voting process based on user preferences and aims to enhance user rewards by achieving the highest possible GM NFT level and voting reward calculation optimization.
How does veDelegate work?
Users stake their governance tokens in the veDelegate smart contract and set their voting preferences. veDelegate then votes in weekly rounds according to these preferences. This way, the user doesn't have to go through the manual steps of voting in the weekly rounds himself. The protocol is dedicated to achieving boosted rewards for our users, which means that staking with us should outweigh the staking rewards in case a users performs all weekly steps manually. This is achieved through voting reward calculation optimization and GM NFT reward boosts.
What is veB3TR?
veB3TR is a value-accruing liquid staking token. When you deposit B3TR or VOT3 tokens into the veB3TR pool, you receive veB3TR in return at the current exchange ratio. veB3TR increases in value relative to B3TR over time because it accrues rewards weekly. This ensures that the value of veB3TR always increases compared to B3TR, offering a continually growing stake.
Is there a lock-up period or redemption fee for veB3TR?
No, there is no lock-up period or redemption fee. You can redeem your veB3TR for B3TR at any time without incurring a redemption fee. veDelegate takes a 10% fee on the weekly voting rewards to ensure we can continue expanding our DeFi offerings; however, this is compensated by the increased rewards thanks to the GM NFT.
When will I receive my first rewards?
veDelegate will make your first rewards available at the same moment you would normally receive these from the VeBetterDAO Governance dApp. For regular accounts you will see your staked balance grow on the dashboard. For veB3TR holders the token value of the veB3TR token will grow proportionately with the rewards received.
In order to be eligible to vote in a governance round, you need to have deposited tokens before the VeBetterDAO snapshot, this happens every week in the night from Sunday to Monday around 00:15 UTC. The users that deposited B3TR/VOT3 in veDelegate before this snapshot are eligible to claim their rewards exactly 7 days after moment of the snapshot. If you miss this snapshot, you won't be eligble to vote in that weeks voting round and your first rewards will be delayed by 1 week.
How do I stake my tokens at veDelegate?
You can stake your tokens by depositing them into the veDelegate smart contract through our platform. Follow the on-screen instructions to complete the staking process and set your voting preferences.
Is veDelegate free to use?
Yes, veDelegate is free to use, and there’s no cost associated with delegating tokens to the protocol. We apply a small service fee of 10% on weekly voting rewards. This fee supports the platform's operational costs and helps improve veDelegate’s GM NFT ranking, which in turn boosts rewards for all users.
In certain cases, there may be a higher fee of 20% for accounts without a valid vePassport. To ensure these accounts remain eligible to vote and maximize rewards, veDelegate purchases carbon credits on their behalf, which covers the requirement to earn voting rights. The additional fee covers these extra costs, helping all users benefit from a seamless voting experience.
What is a VePassport?
Having a valid VePassport is essential for participating in the weekly voting rounds. If you stake your tokens via veDelegate, we automatically manage your VePassport eligibility through delegation so you remain an active participant.
The VePassport system enables dApps on VeChain to distinguish real users from automated accounts. Users need to complete 3 Better actions within a 12-week period to be considered a person. This requirement encourages greater participation in the ecosystem and ensures users are active contributors to the DAO.
Want to check your VePassport status? If you still have tokens staked with veDelegate, your VePassport is being maintained. You can review your staking account and eligibility here: veDelegate.vet.
What is the NFT used for?
In the context of Token Bound Accounts (TBAs), NFTs play a crucial role as they serve multiple functional and security purposes. Here's a detailed explanation of how NFTs are used in TBAs:
Ownership Representation: The NFT in a TBA represents ownership of the staked tokens. When a user stakes tokens through a TBA, an NFT is minted to symbolize this ownership.
Access Control: This NFT grants the holder access to the specific smart contract associated with their staking and voting activities.
Ownership Proof: The NFT acts as a unique identifier that proves the user's ownership of the staked tokens and the right to participate in governance activities.
Access Rights: Only the holder of the NFT can interact with the associated smart contract to vote, claim rewards, and re-stake tokens. This ensures secure and exclusive access to the staked assets and their associated benefits.
Do I need to create an account?
No, veDelegate uses the universal web3 login. This means you just need a vechain supported wallet such as VeWorld to interact with veDelegate.
What does proposal delegation mean?
We as veDelegate will always make sure your vote is casted to make sure you will end up with the maximum rewards possible. For the weekly dApp allocation round, if no voting preference is set, we will distribute your votes across all participating dApps. In the additional governance voting rounds, where important topics might need to be voted on in the short timeframe of a little more than a week, we offer the option for veDelegate to vote on these topics on your behalf. This means that if you're too busy to keep up with every vote, we’ll ensure your interests are still represented. We will only vote on major VeBetterDAO core changes and only if no preference is actively set by users. Our goal is to maintain the health and integrity of VeBetterDAO, making sure critical decisions are made with the community's best interests in mind. Your governance, our commitment! If you don't wish you voice to be represented by veDelegate, but do want to ensure you will be earning maximum rewards, you have the option to opt-out of allowing veDelegate to vote on your behalf on governance proposals. This setting can be found upon your first deposit to veDelegate or under the settings button in the 'Your Stake' section of your veDelegate dashboard.
Do I need to claim my tokens weekly?
There is no need to claim the tokens weekly, your voting rewards will keep accumulating and can be viewed within the dApp. veDelegate automatically claims and re-stakes your weekly voting rewards for you, which means that your rewards will compound for the best APY.
How does the auto-deposit feature work?
If a user opts in for the auto-deposit feature, the protocol will automatically change any B3TR or VOT3 tokens left idle in your wallet and add these to your existing stake on veDelegate before every weekly voting round. This is to make sure none of your voting eligible tokens will be left to waste and you get the best return.
How can I delegate my tokens to veDelegate?
After connecting your wallet to the veDelegate dApp you can navigate to the 'deposit' tab from where you can deposit your B3TR and VOT3 tokens
How can I vote?
After connecting your wallet to the veDelegate dApp you can navigate to the 'vote' tab from where you can set and update your preferred voting distribution before every round, just like how you would do it through the B3TR governance dApp.
What are GM NFTs and how do they boost rewards?
GM NFTs are special non-fungible tokens that significantly enhance the rewards for all tokens staked through veDelegate. The protocol’s goal is to achieve the highest possible GM NFT level to maximize these rewards.
How are the rewards calculated?
Rewards are calculated based on the staking amount and the boost provided by the GM NFT. The rewards are distributed proportionally to all participants.
How often are rewards distributed?
Rewards are available for claims on a weekly basis, following each voting round.
Is delegating to veDelegate safe?
Delegating your tokens to veDelegate is safe. The veDelegate codebase has successfully passed a comprehensive audit by Hacken, which confirmed our codebase is fully securefind the report here. Your tokens are smart contract locked and can only be claimed by the user wallet that delegated these tokens. Your tokens are smart contract locked and can only be claimed by the user wallet that delegated these tokens. The most secure way to delegate tokens would be through VOT3, since the token contract only permits the wallet that swapped B3TR -> VOT3 to swap these tokens back, therewith eliminating the risk of the protocol or any attacker to swap your VOT3 tokens to B3TR with the goal of selling these.
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