SHO/USDC LP

SHO/USDC LP is a critical part of Shogun Protocol as it determines the value of SHO tokens in decentralized finance. SHO/USDC LP will be used directly by Shogun Protocol to buyback SHO tokens with the protocol revenue created.

To improve liquidity for SHO holders, Shogun Protocol will be incentivizing SHO/USDC LP providers. In order to minimize sell pressure on SHO, two reward pools are operated : base pool and boost pool.

Initial SHO allocation for base:boost pool is 40:60, the pool weight may be adjust by Shogun Governance

Base Pool

Base pool serves as a general reward for the users who provide SHO/USDC LP liquidity regardless of their vxSHO positions. Base pool rewards will be distributed as following

Boost Pool

Boost Pool considers both deposited SHO/USDC LP tokens and accrued vxSHO. The concept is to direct greater rewards towards more loyal stakers to the protocol, which will be reflected by number of vxSHO they hold. Boost pool rewards will be distributed as following

Deposit weight is calculated as following

Total Return and APR

For each user, their total SHO/USDC LP farm APR would be as following