👑veNFTs

Debita allows users to collateralise their locked veNFTs, without losing voting power and weekly voting rewards, to borrow against it.

Setting up veNFTs for collateral

Status check

veNFTs must be transferable to move out of your wallet and into the collateral vault.

If a veNFT has ever been voted with, it's currently non-transferable and requires to be reset.

Actions:

To check the status of your veNFT, head over to "Create Offer" on Debita's dapp, select "Borrow", click on the dropdown arrow under "Your Collateral Token", select "NFT", select what exchange veNFTs you would like and press "Click to select NFT".

If your veNFT is tagged as "Non-Transferable", follow the next steps.

Before following any steps, make sure to claim any pending rewards attached to the veNFT you want to collateralise. Debita is not liable for loss of accrued rewards as a result of user error.

Resetting + Merging

Resetting veNFTs is considered a voting event. Therefore, it's important to note that it cannot be reset if it's already been voted with in the current epoch. This is to maintain the fairness of the voting system.

For the same reason, it will not be able to be voted with after being reset, so it must be merged into a freshly locked veNFT to retain voting power and not lose an epoch's worth of voting rewards.

When merging, you transfer the voting power from one veNFT to another while inheriting the longest lock time of the two.

The locked amount can be as small as you want, but it needs to be shorter or equal to the lock length of your original position if you want to keep the lock period the same.

Equalizer:

Go to the "Lock" tab, on the "Governance" drop down menu, select "Manage" on your veNFT, go over to the "Utils" tab and select "Reset".

Go back to the main "Lock" tab, click on "Create Lock" and lock a small amount of $EQUAL for the shortest period possible (you can choose on the calendar by clicking on the date).

Remember to check for pending rewards before the next step or they will be lost.

Back at the main "Lock" tab, click "Manage" on the NEW veNFT, go to the "Merge" tab and merge the reset one into it.

You should now have a ready-for-collateral, votable and transferable veNFT to create your own borrow offer or accept other user's lending offers.