Opium Protocol Delays Governance Token Distribution for Team and Early Investors

Early investors and the creators of the DeFi derivatives platform Opium Protocol delayed by six months the linear distribution of the OPIUM governance tokens allocated to them.

Over the next six months, the supply of governance tokens for early investors and the team will remain at the current level. During this period, funds and the team will not receive their tokens, which will subsequently be distributed linearly over two and four years, as planned.

Terms of distribution for active users will not change — they will continue to receive their tokens.

The move is intended to strengthen the success of the token launch and the January distribution of OPIUM under its own liquidity mining model called drOpium.

Opium Protocol released the OPIUM governance token

drOPIUM is based on game theory and envisions greater rewards for long-term holders of OPIUM compared with those who wish to depart the community and sell their governance tokens. The latter incur tax on a portion of their OPIUM holdings.

Under the proposed mechanism, the first to withdraw funds from the liquidity mining treasury could receive only 40% of the initial number of tokens.

In November 2020, the Opium team raised $3.25 million in a funding round with participation from Galaxy Digital, Alameda Research, Hashkey Group and CMS Holdings.

In December the platform launched the Opium Insurance risk hedging service for the DeFi sector.

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