BRIDGE Token: Reducing Emissions & increasing Utility


Over the next couple of weeks, the following updates will be deployed.

Reducing Emissions by 90%

On June 20th, 2022, we will change the BRIDGE tokens minted per minute that go to the Farms from the current 80 BRIDGE per minute to just 8 BRIDGE per minute. The % minted to finance the dev team and to collect tokens for protocol-owned liquidity (see below) will stay the same.

Reducing Reward Pool Withdrawal Fee

With the launch of v2, we introduced a 30% withdrawal fee for people unstaking the BRIDGE tokens from a Reward Pool. This needed to be introduced to avoid users/bots jumping from pool to pool to collect fees (by watching the on-chain data).

BRIDGE Buy-Back-and-Burns

Until now, 15% of the fees have been collected, and the community was able to trigger a buy-back-and-burn of TXL tokens with the collected tokens. To further drive the value of BRIDGE, this will change to BRIDGE. We will announce a migration date soon. All Buy-Back-and-Burns triggered by the community between the announcement and the migration date (approx. 3 full days) will still buy-back-and-burn TXL. After the migration date, the community can use the collected fees to trigger BRIDGE buy-back-and-burns.

Introducing bridging Discounts for BRIDGE-LP Holders

We are in the final stages of developing a bridging fee discount model for BRIDGE holders. After the go-live date, holders that meet the threshold with a) BRIDGE-LPs in their wallet or b) BRIDGE-LPs staked in the Liquidity Mining Pool will be eligible to a bridging discount. Further details such as how much BRIDGE will be required will be shared closer to the go-live date.

Introducing more Governance

BRIDGE token holders will be able to vote on the first proposals and play a crucial part in the future direction and strategy of the Cross-Chain Bridge. To be eligible to participate in governance, you must have BRIDGE in a wallet, staked in a Reward Pool, provided as BRIDGE liquidity, or provided as liquidity on a DEX on all 5 networks.

Building up Protocol-Owned Liquidity (POL)

We continue collecting a small relative amount of minted BRIDGE in a dedicated “POL” wallet. These BRIDGE tokens will be swapped for different tokens — which will then be used to supply protocol-owned liquidity to our Cross-Chain Bridge.

One-time BRIDGE Buy-Back-and-Burn

In the early “V1” version of the Bridge, we collected the bridging fees in a fee wallet (the fees were not yet circulated back to BRIDGE token holders as there was no BRIDGE token yet, or liquidity providers, respectively). During that time, the Cross-Chain Bridge was a small side project of the TXL team before evolving into a separate project with the V2. To compensate for the time invested by the TXL team before the BRIDGE token launch, the fees collected by the V1 will be 50% utilized for a one-time TXL-Buy-Back-and-Burn. The remainder will be used for a one-time BRIDGE Buy-Back-and-Burn. Of course, we will not announce the date and time when the BRIDGE and TXL Buy-Back-and-Burns will happen.

Cross-Chain Bridge in 2 Years

We have a couple of more exciting improvements in mind to either increase BRIDGE utility or value or make the product more user-friendly, respectively. These might be discussed and put up for votes in proposals in the coming months.

Separate Note for TXL Farmers

The Autobahn Network is about to kick off with 5 projects already committed to deploying on the network.

Building Bridges

There is no doubt that the entire crypto-market has suffered — and continues to suffer — through a bear market. Newer projects, in particular, have been hit hard by market fluctuations. Instead of giving up or slowing the development of the project, we have used this period to grow the team, restructure for maximum efficiency, and develop the best bridging solution we can.

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