HydraDX will be distributing xHDX via a Balancer Liquidity Bootstrapping pool starting on Monday 8.2.2021 at about 4pm GMT expecting to conclude after roughly 3 days on Wednesday 11.2.2021 (blocks: 11817007 to 11836793).
Everything else should be considered a scam. Please make sure the Balancer address is the same as the contract address when proceeding. Again, we will tweet the contract address from our official twitter account.
xHDX is an ERC-20 representation of HDX that will be native token to the HydraDX Substrate chain (Polkadot). xHDX total supply is 500 000 000 tokens (5% of the 10b HDX tokens).
The xHDX LBP’s goal is to achieve a wide distribution. It will last for ~3 days. The price will start high and will be dropping fast as the weights in the pool shift. We will be releasing details on the LBP in the coming days.
What happens after LBP?
We are following a similar path to Polkadot. xHDX is just a means to get HDX on the HydraDX chain. After the LBP ends, you will be able to claim xHDX to mint HDX via HydraDX claims UI. You will be able to do this on our website:
After you claim your native HDX tokens on HydraDX chain, you can nominate a validator via HydraDX UI to receive more HDX in Stakenet & Incentivized Testnet period. Validating itself will require node setup. System requirements and node setup will be explained in separate articles.
After the LBP concludes xHDX transfers will be immediately locked on Ethereum. xHDX will then be redeemable on the HydraDX chain. It’s important that you only use a wallet to which you hold a private key. You will not be able to claim tokens from contracts like Uniswap or exchanges.
WARNING! There is nothing else you should be doing with your xHDX tokens other than acquire them via LBP. After the LBP is finished, tokens are locked in the contract and only thing you will be able to do with them is to use them to claim HDX on HydraDX native chain. If you lock xHDX tokens in another contract (such as put them in a Uniswap as an LP) you will lose access to them after the LBP ends.
The claim UI and a guide for how to redeem you xHDX for HDX will be released soon.
Why an LBP?
Perp Protocol have done a great job summarizing why LBP is the optimal way to distribute stake in the network. To summarize:
Fair for humans (bots don't have an advantage over human participants)
Better price discovery
Anyone can do it (public and permissionless)
Please note that this is not a token sale. This is a liquidity bootstrapping event. Proceeds from the LBP will be moved to the HydraDX liquidity pool at mainnet and will be controlled by the protocol.
What is an LBP?
TLDR: LBP (Liquidity Bootstrapping Pool) is an adjustable Balancer smart contract that is used for initial distribution and price discovery of new assets. It uses a constant selling pressure and has a limited time duration, during which price continually drops if there is no demand.
If you are a total noob we do not think it is a good idea for you to participate anyways. To learn more about what LBP is, we recommend this introduction from Balancer.
More Information Coming Soon
In the coming days we will release an explanation on how the LBP price discovery works and all other documentation that will ease the user in the process of participating, migrating xHDX to HydraDX chain and guides for those who would like to run validator nodes & stake.