uTVL FAQ

What does KPI mean?#

KPI stands for Key Performance Indicator.

What is a KPI option?#

A KPI option is a financial product that becomes more valuable if a certain KPI the issuer cares about is met. These are intended to incentivize option holders to work towards meeting those KPIs.

What is uTVL-0621?#

uTVL-0621 is the UMA's first KPI option product. Its value depends on the total value locked (TVL) in the UMA protocol by the end of June 2021.

How do UMA KPI options work?#

uTVL-0621 are call options that will be redeemable for UMA tokens at expiry (June 30 2021). Option holders will be able to redeem their options at a rate of 1 UMA per billion of USD locked in UMA at expiry. This price is capped at a maximum of 2 UMA per option, signaling the target of $2 bn TVL.

Am I eligible for uTVL-0621?#

Maybe! People active in the UMA ecosystem and other DeFi communities are. The easiest way to check is to try to claim them

How do I claim?#

  1. Go to the UMA Claims Dapp
  2. Click Connect Wallet to Claim Options
  3. Select a wallet provider and follow instructions

I believe I am eligible but the web app says I'm not. What should I do?#

  1. First, make sure that you're using the right address
  2. Then search for that address in this list.
  3. If your address isn't on the list but you still really, pinky promise think you're eligible, share it in a public channel of the UMA Discord server and we'll try to help you

I got my options. What do I do now?#

You can now either hold your uTVL options and help the community drive up the uTVL of UMA to increase their value or sell them on SushiSwap. You can also provide liquidity to this pool and receive liquidity provider fees.

I missed the airdrop. Can I still get uTVL?#

The UMA community has developed a secondary market on Sushiswap where you can purchase uTVL tokens.

How do I track the value of my options?#

We have not one but two dashboards for you: - Google Sheets and Grafana (as well as a little uTVL bot in the corner of our discord).

What are the costs and risks associated to this program?#

This is an airdrop, which is as close as it gets to free money falling from the sky. However, you should be aware of that claiming, selling, redeeming, and using the options to provide liquidity are all blockchain transactions, with their associated gas fees. The price of gas on Ethereum has been very high for a while, so it can be a substantial expense for some. Note that gas is used to reward miners for keeping the network alive and that UMA does not benefit from this.

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