Trava & rTrava holders can vote-lock their tokens into the Trava Governance to receive veTRAVA, which holds voting power. The longer they lock, the more voting power they possess. Vote locking allows you to vote in governance and receive rewards from special incentive programs.
veTRAVA stands for voting escrow Trava. It is an ERC721 token that acts as evidence of your locking token in the governance module. Every time users create a new lock, they receive a veTRAVA token, storing their locked balance, unlock time, and rewards amount.
The longer you lock your tokens, the more voting power you have (and the bigger incentive you can earn). For example, you can vote lock 1,000 TRAVA/rTRAVA for a year to have 250 voting power. Each token locked for four years is equal to 1 voting power.
The number of voting power you will receive depends on your locked balance & unlock time.
The minimum locking time is one week, and the maximum locking time is four years.
Your voting power gradually decreases as your escrow tokens approach their lock expiry. The graph on Locker UI from Governance Portal illustrates the decrease process.
While holding veTRAVA, you can vote for proposals to change the protocol with your voting power and earn rewards from incentive programs. Currently, veTRAVA holders will earn weekly rewards emission in Trava based on their voting power percentage. There will be proposals to enable sharing fees from protocol or boost rewards in the lending pool in the near future to enrich the veTRAVA incentive program.
Firstly, veTRAVA represents the vote locking mechanism, which helps the protocol focus on encouraging ones who show strong commitment.
Secondly, veTRAVA is designed as an ERC721 token, which opens a future secondary marketplace to avoid the decrease of liquidity on the market because of locking the Trava token.
You can go to our Locker UI in Governance Portal to create a new veTRAVA lock.
Here is the link to our user guide.