Nov 3, 2021
Litentry Crowdloan teams up with Bifrost to bring Liquidity DOT Derivatives
Litentry Crowdloan is partnering with Bifrost, a parachain network that provides liquidity for staking tokens. Bifrost will provide Litentry corwdloan contributors with liquidity DOT derivatives (vsDOT & vsBond) for DOTs contributing through Bifrost!
Specifically:
- Users can contribute to Litentry through Bifrost, getting liquidity derivatives vsDOT & vsBond-LIT for each DOT staked to hedge against the 96-week DOT locking period. The contribution features on Bifrost will open before the auction starts.
- Once Litentry wins the auction, the vsDOT will be tradable for swap between DOT and other assets effortlessly.
- Alongside the aforementioned benefits, Litentry crowdloan contributors can still receive bonuses including basic rewards from the 20M LIT pool, early bird bonus and identity task bonuses specified in our Crowdloan Plan.
What are vsDOT and vsBond?
By participating in the Litentry crowdloan through Bifrost SALP (Slot Auction Liquidity Protocol), users will receive two derivatives: vsDOT and vsBond-LIT.
vsDOT is Fungible Token that anchors the staked DOT, homogeneous with the vsDOT issued from other parachain projects on Bifrost; while vsBond-LIT is specially issued for Litentry when users vote for Litentry parachain.
Once the Litentry parachain is retired, vsDOT and vsBond-LIT together can fully redeem the underlying DOT. In other words, as a liquidity derivative, vsDOT can be freely exchanged between parachains with different lease periods to increase market flexibility.
Use cases of vsDOT and vsBond-LIT:
- Both vsDOT and vsBond-LIT can be traded at any time in the Bifrost Liquidity Pool, or in liquidity pools opened by third parties.
- The staked DOT can be redeemed using vsDOT and vsBond-LIT in a 1:1 consolidation at the end of the slot lease period.
Litentry reserves the right to interpret and amend the rules and details of this event.
About Litentry
Litentry is a Decentralized Identity Aggregator that enables linking user identities across multiple networks. Featuring a DID indexing protocol and a Substrate-built distributed DID validation blockchain, Litentry provides a decentralized, interoperable identity aggregation service that mitigates the difficulty of resolving agnostic DID mechanisms. Litentry provides a secure vehicle through which users manage their identities and dApps obtain real-time DID data of an identity owner across different blockchains.
