veDUST Mechanics & Governance Participation Incentives

veDUST Mechanics & Governance Participation Incentives

veDUST is issued when users lock DUST tokens, granting greater voting power for longer lock durations and enabling participation in governance over how protocol-generated revenue is allocated among ecosystem incentives.

Formula for veDUST calculation:

veDUST = DUST Locked x (Lock Duration / Max Lock Duration)

Longer locks = More veDUST and increased governance influence over incentive allocation

veDUST decays over time, ensuring governance influence remains tied to active participation.

To maintain a prominent level of influence, users are encouraged to regularly extend their lock and stay engaged in protocol governance.

To maintain influence, users must re-lock DUST before expiration.

Implementation Details

Voting power linearly decreases over time.

Every deposit, withdrawal, or lock-time update records new user data.

Expiration times are rounded to whole weeks to minimize unnecessary transactions.