The Perpetual protocol recently announced the release of vePERP. The vePERP token is a version two model of the PERP token, to which the governance system of the protocol agreed.
Governing members of the protocol have voted in support of the release starting from April, and the token is now set to be utilized in the Perpetual ecosystem. The protocol will now shift its attention from PERP to vePERP.
The vePERP token will serve as a community incentive. Also, the protocol’s referral program will now issue the vePERP token to users instead of the sPERP token.
Further, staking vePERP to earn rewards in liquidity pools will be encouraged. The vePERP token will not be made mandatory, although staking with the new version token will grant users higher returns. Stakers will also earn rewards in proportion to their staking period (max. 52 weeks). The longer the stake, the higher the returns.
vePERP holders will benefit from the fee distribution framework in the protocol. Previously, transaction fees were split into two. A portion went to the market makers while the other went to the Insurance fund. The new protocol framework allows vePERP holders to earn a portion of the platform’s fees.
The PERP Token Soars
The PERP token soared above $1 shortly after the protocol confirmed the upcoming launch of vePERP. Initially, PERP traded around $0.88 before breaking out and crossing the $1 mark. The token went as high as $1.35 earlier today. The token currently trades at $1.1 per PERP.
The recent price increase has been the most significant in the last three months. Notably, the PERP token has reached significant peaks in the last two years. In 2021, PERP reached an all-time high of $24 before crumbling down.
PERP now has a market capitalization of $99 million, and the asset occupies the 258th position on the list of crypto tokens by market capitalization.
