Three-way Markets in veTokenomics

Nov 15, 2022

Presentation given at CryptoEconDay '22 in Lisbon. Slides viewable below or here.


The explosion of the vote escrow (VE) tokenomics design pioneered by Curve has generated intricate markets around the value of voting power.

This talk will cover:

  • The different layers of governance and tokenomics that have been formed around the ve model;

  • The main DEXes and respective ecosystems employing it (Curve, Balancer, Velodrome);

  • The two main types of markets that have developed around bribes;

  • The three sides of ve bribing markets and the incentives of each side;

  • The techniques being explored to optimize participation in these markets by each type of participant;

  • Extracting lessons from the above on incentives and governance design spaces in DeFi.