PegasusDAO Bonding — How and Why?
As we roll out our next phase, Bonding will be our main point of focus over the next 24hrs. In order to support the high APY’s we plan to set, we must build ample Treasury Balance through the bonding/minting. In this Medium post, we will ELI5 “Bonding.”
When users bond to the protocol, it allows the DAO’s Treasury to acquire stable assets such as USDC, DAI, and LP in exchange for offering $SUS at a discount. The user can claim this discounted $SUS over a 5-day vesting period, every 8 hrs.
For example: Give PegasusDAO $100 in USDC, and we’ll return $150 worth of SUS (valued at the time of bonding) over 5 days.
Why to Bond on Pegasus DAO?
It’s basically free money. Bonding allows you to purchase SUS at a steep discount relative to the market rate. If Bonding ROI is set at 50%, you get to purchase $40/SUS at $20/SUS. This SUS is paid to your wallet over the course of the next 5 days from the point that you Bond. ($20/SUS will hit your wallet every 8 hrs for the next 5 days).
Why is this a good strategy?
If you acquire $SUS at a discount via the bonding mechanism, over the next 24 hours, you will have about 20% of your SUS in our wallet, that you have acquired at a discount, READY for staking and getting a pie of those sweet sweet APYs.
How to Bond on Pegasus DAO?
- Go to app.pegasusdao.finance
- Click the “Bond/Mint” tab. You’ll have 2 options (LP bond or USDC bond).
2a. To bond USDC, you must have USDC in your wallet. In our Testnet example above, you will be able to purchase SUS at a 900% discount relative to the market price.
2b. To bond SUS-USDC LP, you must go to https://app.cronaswap.org/liquidity, and add SUS-USDC LP. In our Testnet example, you will be able to purchase SUS at a 58.11% discount relative to the market price upon staking your SUS-USDC LP Tokens.
3. Once you chose which option you’d like to bond to, you will be prompted with the window below. Approve the contract. Then select the amount of USDC or SUS-USDC LP to bond. Voila! You’re done!
You’ll be able to view details on how many SUS you’ll receive at the end of the 5-day vesting term!
4. You’ll be receiving the first tranche of your SUS 8 hrs after you bond. Begin preparing these funds for the next Phase of Staking. You will be able to stake the SUS you acquired at a discount and earn amazing APY on them!
Disclaimer: By reading this Medium article, you warrant and understand that investing, contributing, staking, or bonding USDC or any other coin into PegasusDAO and our protocol is experimental and risky.
Consider your funds high in the sky, and do not invest more than you can afford to lose. You acknowledge that you are trusting a community of 8000+ strangers on the internet on a random Discord server.
You acknowledge that PegasusDAO, and any known affiliates or assignees bear no liability for monetary or financial loss due to changing market conditions in our ecosystem, that any investor may deem unfavorable even though we use an Automated Market Maker (AMM) system to distribute and reallocate funds through our Treasury to stakers and bonders.