Bunni Tokens

Understanding LIT, oLIT, and veLIT

Overview

Bunni Pro features three primary tokens within its protocol governance:

• LIT

• oLIT

• BAL-20WETH-80LIT

The latter is a Balancer Pool Token (BPT) issued by that AMM protocol.

The Bunni ecosystem revolves around the redemption of oLIT for LIT and subsequent deposits into veLIT.

LIT

Liquidity Incentive Token (LIT) is the native token of Bunni Pro. Users can pair it against WETH on a canonical Balancer Finance pool in order to earn governance power over the protocol.

Liquis accepts LIT for the minting of its liquid wrapper, liqLIT.

oLIT

Bunni Pro does not emit spot LIT. Instead, it emits LIT options. oLIT is a non-expiring option to purchase LIT from the Bunni Pro treasury at a governance-specified discount to spot. This allows the Bunni protocol to accumulate ETH as it continues to expand the circulating supply of LIT.

Not only does Liquis accept oLIT for the minting of liqLIT, it also automatically exercises the share of oLIT emissions it receives for its aggregate veLIT position.

BAL-20WETH-80LIT (veLIT)

Users who pair their LIT against WETH can choose to lock it for any period of time up to four years in order to receive veLIT voting power. veLIT confers the ability to vote on governance proposals and gauge weights for future oLIT emissions. The longer a user's lock, the greater their veLIT balance, with a linearly decaying "boost" of up to 5x for those who commit to the longest duration. A user's veLIT balance determines the share of emissions they receive for providing liquidity in a Bunni range with a gauge, as well as that of any bribes or protocol revenue returned to LIT holders.

liqLIT represents tokenized veLIT locked for the max duration upon deposit into Liquis.

For reference, the Bunni Pro documentation on their own page.