Flamingo Finance launches FLOCKS, the DeFi platform’s new multi-asset dividend-bearing token
Flamingo Finance has launched FLOCKS, a multi-asset, dividend-bearing token designed to succeed FLUND on Neo N3. The FLUND to FLOCKS migration period is live and will continue through Monday, March 31.
FLOCKS represents the next evolution of Flamingo’s single-sided staking feature, first introduced in 2022. FLUND allowed users to passively earn portions of Flamingo’s daily FLM minting rewards and accrued platform fees. FLOCKS expands on this model by distributing a diversified set of assets—FLM, bNEO, FUSD, GAS, fWETH, fWBTC, fUSDT, and fBNB—sourced from platform activity, including trading fees, loan interest, and minting rewards.
The current migration process enables existing FLUND holders to exchange their holdings for FLOCKS at a 1:1 FLM-to-FLOCKS ratio. No exit fee will be applied during this first migration phase, which typically carries a 2% cost for FLUND exits. This early conversion period is exclusively available to current FLUND holders and is aimed at rewarding long-term participants with uninterrupted yield generation.
Source: Flamingo Finance
A deflationary mechanic has been integrated into the token economic model: for every FLOCKS token minted, one FLM token is burnt. According to the Flamingo team, this mechanism is intended to counter FLM’s inflationary schedule and potentially initiate a flywheel effect; reducing supply, increasing FLM value, attracting liquidity, boosting platform volume, and generating more fees for FLOCKS holders. This cycle would lead to the continued burning of FLM in exchange for FLOCKS, with the ultimate vision of fully transitioning the supply.
Once the initial migration period concludes on March 31, Epoch 1 begins. Each epoch spans approximately one week and concludes with the distribution of weekly collected rewards to FLOCKS holders. The first epoch will include accumulated platform fees from the launch of OrderBook+, the six-day migration period, and the first week of standard FLOCKS operation.
Users can choose to receive their rewards either in a single-asset format—defaulting to FLM—or in a diversified basket of tokens by selecting the Diversified Yield option on the FLOCKS token page.
Looking ahead, the Flamingo team plans to incorporate governance functionality into FLOCKS, enabling token holders to participate in decisions that shape the future of the DeFi platform.
The full announcement can be found at the link below:
https://medium.com/flamingo-finance/flamingo-finance-announces-flocks-dividend-bearing-token-and-flund-migration-d41355153378