GRO is a governance token of the Growth DeFi ecosystem, through which the management of all the products released is carried out. There are some benefits for GRO holders, which we will describe in this article. We will try to cover staking, profit-sharing, and governance features.
GRO as a Governance Token
As was mentioned before, the token GRO governs the whole ecosystem and all the products and chains in features. Users can put their tokens in staking on any available chains, thus each of the users takes part in GRO governance. Besides, they can be used as a farming WHEAT to provide the GRO tokens staking. DAO allows the token holders to decide on features of MOR as well as the system surplus and other features like fees of stability and performance.
GRO as a Deflationary Token
The Growth DeFi ecosystem features its native token called WHEAT that is used to provide liquidity and to stake native tokens, giving the users the opportunity to receive a yield on their GRO, MOR, etc. As a result, the GRO token itself does not suffer from inflation caused by liquidity mining/farming purposes. 277k GRO is currently in circulation, while the total number of the supply of the tokens is 581k GRO. Tokens out of circulation are kept in the treasury and used for the project’s development. The tokens supply is limited, and new GRO tokens can’t be mined. Besides, some tokens are burned, making GRO deflationary. The burning mechanisms cover the following systems:
- Crosschain Bridge Fee. 5% of all GRO bridged are burned with the goal to receive arbitrage profits that are generated by different trading pairs in each chain and reduce supply coming from those users who bring to stake and farm WHEAT on a new chain due to the high APY.
- System Surplus Buybacks. It is the profit gained by the protocol through several income sources such as liquidation penalties, stability and borrow fees, and fees received from swaps applied to the Peg-Stability Module (PSM).
- GRO treasury buybacks. The GRO treasury can use its excess funds to buy back and burn GRO.
GRO as a Staking Token
One of the ways to stimulate GRO holders to take part in governance is to reward stakers. Each chain built by Growth DeFi offers a WHEAT-incentivized pool for GRO stakers.
This allows rewarding GRO holders for holding GRO and participating in governance.
GRO as a Crosschain Opportunity
The Growth DeFi ecosystem is envisioned to be a platform with many different chains. It runs on BSC and will switch to Avalanche in October.
GRO and the Growth DeFi ecosystem will also provide other chains shortly: Arbitrum, Starknet, Fantom, Polygon, and Optimism. Given GRO has a limited supply and will feature governance and staking benefits on each of its chains. As the Growth DeFi ecosystem expands, the value of benefits and rewards becomes greater.
Conclusion
GRO is the project that covers everything users could wish into one platform that contributes to the rapid development of the DeFi ecosystem due to the following features:
- Governance over all DAOs on all chains
- Profit-sharing from MOR’s excess
- Deflationary, regular burning of the tokens
- Staking rewards through WHEAT
