Mars Protocol
MARS holders who wish to participate in governance can stake their MARS tokens and receive xMARS in return, with an unstaking period of 7 days. xMARS has a few key properties:
  • Governance: 1 xMARS = 1 unit of voting power. Only xMARS (and MARS that’s locked for Mars Joint Venture contributors) can participate in governance, making decisions on asset listing, risk parameters, treasury spending and more.
  • Fees: xMARS holders receive a share of protocol interest-rate revenue. Similarly to SushiSwap’s SushiBar contract, this is done by using the revenue to buy MARS on the open market and adding it to the xMARS pool.
  • Safety Fund: xMARS holders backstop protocol risk. A pool of reserved aUST (the β€˜Safety Fund’) is used as a first-resort source of recovery for shortfall events. Staked Mars is used as a last-resort source of recovery for Shortfall Events, with up to 30% of their stake being locked and sold in case of a shortfall event
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