The Magpie Bribery Market
Monetize your voting power through Magpie
The Magpie Bribery Market is an innovative platform that allows users to use their Vote-Locked MGP tokens to support various pools and exercise their governance voting rights on Wombat Exchange. By holding vlMGP tokens, users can vote to decide which pools on Wombat should receive a boost in WOM emissions. Protocols using Wombat liquidity pools may offer incentives or bribes to voters in order to gain their support. Through the Magpie Bribery Market, vlMGP holders have the power to control the voting of Magpie as a veWOM holder on Wombat exchange.
Protocols with token liquidity on Wombat's pools may offer incentives to veWOM holders in exchange for their vote in favor of increasing WOM emissions for their liquidity pools. The purpose of this is to attract more users and liquidity to the platform by increasing their WOM rewards. Each Wombat pool has a gauge for liquidity, where veWOM holders can vote to influence which pool should receive a boost in WOM emissions. The protocols may use these incentives as a means of gaining support from veWOM holders and increasing WOM rewards for their liquidity providers.
Magpie has acquired a significant amount of veWOM, which it has obtained through conversions of mWOM, thus granting the platform governance benefits on Wombat Exchange. Vote-Locked MGP holders are able to partake in this governance power through the Magpie Bribery Market by controlling the veWOM owned by Magpie. Through Magpie they can participate in the voting process on Wombat to support any pool of their choosing.
The Magpie Bribery Market allows vlMGP holders to exercise their voting power and influence the distribution of WOM emissions among pools on Wombat. vlMGP holders can select which pools they want to allocate their votes to and Magpie will use its veWOM vote proportionally on Wombat according to their choices.
This mechanism allows vlMGP holders to take advantage of bribes offered by protocols on Wombat and it can be beneficial for all parties involved. Wombat partners can use bribes to increase token liquidity more efficiently, liquidity providers can receive increased WOM rewards, and vlMGP holders can have a new consistent real yield income source in exchange for their governance power.