WLFI proposes governance staking system and USD1 usage incentives
World Liberty Financial’s USD1 is the fifth-largest stablecoin by market capitalization at $4.7 billion, while USDT is the market leader, followed by USDC.
Trump family-backed crypto venture World Liberty Financial (WLFI) has proposed new measures to boost participation in governance through a staking system and incentivize the use of its stablecoin USD1.
In its latest proposal on Wednesday, the team suggested governance votes should require holders to stake their tokens for at least 180 days to ensure “voting power is held by participants with long-term alignment to the protocol,” instead of “short-term holders or speculators.”
Stakers would earn an annual percentage rate of 2% provided they participate in at least two governance votes during the lock-up period. Governance power would be based on the amount staked and the time left in the lock-up. Users with locked tokens can continue to vote as usual.
