VELO holders now convert into AERO, with the merged supply split 94.5% to Aerodrome's side and 5.5% to Velodrome's.
Aerodrome and Velodrome went live as Aero Wednesday night, folding the two DEXs into one exchange running on Base, Ethereum, OP Mainnet, Arbitrum, Robinhood Chain, Ink, and Arc.
What's the Scoop?
The Split: AERO carries over 1:1, while VELO converts at 0.044 AERO, leaving Velodrome's community with 5.5% of the merged supply based on each side's share of revenue over the past year, with no team or VC allocation.
Predictive Allocation: Weekly ve-votes are gone. Stakers now direct rewards to pools continuously and earn a cut of those pools' revenue, so backing a market early pays the most if it takes off.
Capped Rewards: Emissions are now priced in dollars and capped against each pool's projected revenue. Rewards above a pool's cap are simply never minted.
Track Record: Aero says the two DEXs have paid stakers more than $580M, the most of any DEX, while running on chains that carry only ~17% of EVM spot volume. It says its seven launch chains were handling nearly 4x the DEX volume of Base and OP Mainnet by mid-October.
David Christopher
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David is a writer/analyst at Bankless. Prior to joining Bankless, he worked for a series of early-stage crypto startups and on grants from the Ethereum, Solana, and Urbit Foundations. He graduated from Skidmore College in New York. He currently lives in the Midwest and enjoys NFTs, but no longer participates in them.