Glossary
Annual Percentage Rate, is the annualized interest rate without taking the effect of compounding into account.
Annual Percentage Yield, is the normalized representation of an interest rate, based on a compounding period over one year. Note that APYs provided are rather ballpark level indicators and not so much precise future results.
Bond Control Variable, is the scaling factor at which bond prices change. A higher BCV means a lower discount for bonders and lower inflation by the protocol. A lower BCV means a higher discount for bonders and higher inflation by the protocol.
Decentralized Autonomous Organization, is a governance mechanism for making decisions in a more trustless and collaborative way. Voting rights are often bound to a governance token. In ELODAO the governance token is ELO. At this time, only ELO on the Binance Smartchain can be used to vote. ELO deposited in a staking/lending pool, or LP pairing cannot be used to vote.
Ethereum Virtual Machine, is a state machine in which all Ethereum accounts and smart contracts live. At any given block in the chain, Ethereum and Binance Smartchain has one and only one canonical state, and the EVM is what defines the rules for computing a new valid state from block to block.
Liquidity bonds are LP token bonds. Examples are ELO-DAI LP bonds and ELO-BNB LP bonds.
Protocol Controlled Value, is the amount of funds the treasury owns and controls. The more PCV the better for the protocol and its users.
Protocol Owned Liquidity, is the amount of LP the treasury owns and controls. The more POL the better for the protocol and its users.
Proof of Reserve, is the mechanism of strengthening the reserve of ELODAO treasury via the sales of bonds. Bonders provide liquidity to the treasury, thereby building its reserve. In return for their service, bonders get paid in ELO.
Pancakeswap Liquidity Provider, is the token received when providing liquidity on pancakeswap. For instance LP bonds require PLP tokens of the ELO / DAI pair or ELO / BNB.
Reserve bonds are single asset bonds. They are sometimes referred to as "naked" bonds. Examples are DAI bonds and BNB bonds.
Reward rate is the configured percentage of ELO distributed to all stakers on each rebase relative to the total supply. The reward rate is precisely set by the policy team. Not yet defined for ELO DAO.
Reward yield refers to the actual amount of ELO received by each staker on each rebase. The reward yield is a rough target from a policy point of view. It can almost never be maintained precisely due to e.g. fluctuating amounts of ELO staked.
Risk Free Value, is the amount of funds the treasury guarantees to use for backing ELO.
Total Value Locked, is the dollar amount of all ELO staked in the protocol. This metric is often used as growth or health indicator in DeFi projects.
Treasury as a Service, is the business model of decentralized custody of partnership funds. ELO DAO is designed for TaaS by selling bonds and absorbing partners' liquidity into its treasury as a result.
Time Weighted Average Price, is the average price of an asset over a specified time. TWAPs are used to represent the fair value of an asset as defined by the market.
Snapshot is a decentralized voting system. It provides flexibility on how voting power is calculated for a vote. Snapshot supports various voting types to cater to the needs of organizations.
Last modified 9mo ago