xCETUS
Basic
Name: Cetus Escrowed Token
Ticker: xCETUS
Chain: Sui
Coin_type address on Sui: 0x9e69acc50ca03bc943c4f7c5304c2a6002d507b51c11913b247159c60422c606::xcetus::XCETUS
To promote decentralized community governance for the network, Cetus would allow holders to propose and vote on governance proposals to determine future features, upgrades and/or parameters of Cetus, with voting weight calculated in proportion to CETUS staked (which is then converted to non-transferable xCETUS, an escrowed governance token, to represent voting power). The right to vote is restricted solely to voting on features of Cetus; it does not entitle CETUS/xCETUS holders to vote on the operation and management of the Company, its affiliates, or their assets or the disposition of such assets to token holders, or select the board of directors or similar bodies of these entities, or determine the development direction of these entities, nor does CETUS/xCETUS constitute any equity interest in any of these entities or any collective investment scheme; the arrangement is not intended to be any form of joint venture or partnership.
Users can get xCETUS by directly converting CETUS tokens, or through participating/contributing to the protocol (e.g. providing liquidity).
In addition to governance utilities, CETUS functions as a loyalty membership point which embeds a license granting active participants exclusive access to selected products or services. By holding the staked version (xCETUS), users may upgrade their loyalty tier (based on the amount of xCETUS held, as well as user activity). The premium loyalty tiers would allow users to get greater access to the ecosystem features and more preferential terms, for example certain premium functionalities, exclusive products/services, or greater or more unique transaction rewards.
Conversion & Redemption
CETUS and xCETUS can be converted with each other mutually, but the process and rules are different depending on the converting direction.
(1) Conversion from CETUS to xCETUS
CETUS can be instantly converted into xCETUS at any time. The conversion ratio is 1:1.
(2) Redemption from xCETUS to CETUS
The redeeming process to convert xCETUS back to CETUS involves vesting. The duration of the vesting is selected by the user. The conversion ratio will increase in proportion to the vesting duration selected by the user:
The minimum vesting duration of 15 days gives a 1:0.5 conversion ratio
The maximum vesting duration of 180 days gives a 1:1 conversion ratio
Users won't receive CETUS until the vesting period of the redemption is fully ended.
When the user chooses a vesting period that is shorter than the maximum allowed duration (conversion ratio < 1:1), the unclaimed remaining CETUS token will be forfeited when the vesting period ends and redemption process is done. The forfeited portion will be transferred to the Eco Treasury for consolidating insurance funds and long term community incentivization of the protocol.
(3) Cancel redemption
Before the vesting period of a redemption request comes to an end, users can freely cancel the redemption. In that case, the user will retrieve its entire amount of redeeming xCETUS, but no CETUS.
Utilities
(1) Governance
Cetus DAO plays an important role in the decision making of the Cetus ecosystem. Community members can use their xCETUS balance as a governance token to make proposals and vote. After the Cetus DAO platform is established, community users can let their voice in terms of the protocol development be heard in a more straightforward way. There will also be periodic voting for the allocation of mining rewards and other incentivization.
A higher xCETUS balance stands for higher voting power. When determining a user's voting power, only the amount of xCETUS holdings in the user's wallet will be taken into account. Any xCETUS in a vesting duration of the redemption process will not be included in the calculation.
(2) Launchpad participation
xCETUS balance will be considered as a whitelist requirement or used for calculating a user's buyable quota for a launchpool in Cetus launchpad. xCETUS in a vesting duration also counts for the weight calculation of launchpad-related activities.
There will be bore token utilities to be released in the future.
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