# rMAV: veMAV gone Rogue By [Rogue](https://paragraph.com/@roguefinance) · 2023-11-07 --- Today, we're looking at the governance framework of Maverick AMM and how Rogue aims to refine it. Before diving deeper, let's take a swift tour of the facets that distinguish this ve-model. Stay chill, we’ve got it all covered. Maverick, what is? ------------------ Before exploring its governance model, it's crucial we understand what sets Maverick AMM apart. Unlike traditional AMMs, it brings a fresh look to the landscape in 3 fundamental ways: 1. **Dynamic Distribution**: it introduces more granularity by allowing LPs to decide on distribution at the ‘bin’ level. For comparison, Uniswap V3 only support uniform liquidity distribution in given price ranges. 2. **Movement Modes**: Movement modes enable liquidity to shift with price, improving swap fee capture and allowing LPs more options to bet directionally. 3. **Liquidity Shaping:** Boosted Positions allows protocols to incentivize liquidity in specific ways. More below ! For more details, you can have a look at their [doc](https://docs.mav.xyz/)! tl;dr gud tech. Zoom on Liquidity Shaping: Boosted Positions ⚡️ =============================================== On Maverick AMM, liquidity pools can permissionlessly be incentivized through Boosted Positions. Simply put, they allow protocols to draw liquidity to their pools in a customized way. For instance, a `USD` based stablecoin needs deep liquidity around the $1 peg. The protocol could pool its coin with another stablecoin (i.e. `USDC`) on Maverick and create a Boosted Position to attract deep liquidity around this price. Here, only users providing their assets close to the peg would earn incentives, which makes bootstrapping and maintaining liquidity magnitudes cheaper than on a traditional DEX. The case of Curve ================= Let's take the `cvxCRV` / `CRV` pool on Curve as a case in point. ![](https://storage.googleapis.com/papyrus_images/8fbbcf0771b01cc891f95f76b0fa9115435e9e9a8c02727cd4e419df4756c478.png) ### **What we see:** * **Pool** **TVL**: Approximately $30m * **Daily Trading Volume**: Roughly $100k * **Liquidity Provider Incentives**: 12% APR, translating to whooping $3m in `CRV` tokens per year * **Reserves Imbalance**: `cvxCRV` makes up only about 70% of the pool reserves * `cvxCRV` and `CRV` are expected to trade in a constrained range (around 1 `cvxCRV` = 1 `CRV`) but decent volatility can be observed. Sounds capital efficient? We wouldn’t say that. The Boosted Position Approach ============================= With Maverick's Boosted Positions, you could create a more efficient pool with the following attributes: 1. **Targeted Incentives**: a BP can drive deep liquidity close to the 1 `cvxCRV` = 0.9-1 `CRV` range, where most trading activity is expected to happen. 2. **Single-side incentivization**: with a BP, only `CRV` deposits could be incentivized, rewarding LPs who contribute the most value to the pool. (there’s already too much `cvxCRV` in it) It's estimated that a similar setup on Maverick could handle the same trading volume with at least an order of magnitude less TVL and token incentives. This [DeFiLlama dashboard](https://defillama.com/dexs) does a good job at illustrating our point. ![Lil' sneak peek](https://storage.googleapis.com/papyrus_images/432cb6d23b8d405b9071cb70591a46914b88483179abeba101cb13967f62aa84.png) Lil' sneak peek Maverick ve-model: veMAV ======================== Now that we know what’s neat about Boosted Positions, how do they fit in Maverick’s governance model? ![](https://storage.googleapis.com/papyrus_images/6d1f31c731617f37cbd7aef1c825d177517b05c15e6591e004c6c8faa98675b2.png) `MAV` is Maverick AMM’s native token. It serves a dual-purpose: * **Governance**: Lock it for a chosen duration to receive `veMAV`: the longer you lock, the more `veMAV` you receive. * **Platform incentivization**: in order to bootstrap the liquidity on Maverick, `MAV` incentives will be distributed to LPs. But when does this all come together? You may be wondering. Well, only LPs committing their liquidity to Boosted Positions will be eligible to `MAV` emissions! It means every emitted `MAV` will be put to efficient use, rewarding LPs that bring the most value to the protocol. That’s huge but that’s not all. By owning `veMAV`, YOU get to decide to which BP `MAV` incentives should flow to : the more votes it receives, the more `MAV` emissions its LPs will earn! rMAV: veMAV gone Rogue ---------------------- There’s a catch though. As we explained in this article: [https://mirror.xyz/roguefinance.eth/HLuM6gCkBVuVoBi16lihKF6NMMieo9Wsm9\_e2wiMwgs](https://mirror.xyz/roguefinance.eth/HLuM6gCkBVuVoBi16lihKF6NMMieo9Wsm9_e2wiMwgs) `veMAV` is **not** transferable. It’s a feature, not a bug : this way lockers show their long-term commitment to the protocol. However, this limits its composability across DeFi and keeps holders from exiting their position should they want to. In order to give lockers more flexibility, we created `rMAV`, a `veMAV` wrapper. It’s simple: for each `MAV` you lock through Rogue, you’ll be minted 1 `rMAV`. We take care of locking the underlying `MAV` forever. And for the maximum duration, so that you can access maximum voting power. ### **veMAV / rMAV 👇** ![](https://storage.googleapis.com/papyrus_images/a7970a2ecc95ff0050d9bb776168a42572a54cdfcd427c324c166a0d7821ef61.jpg) * **Transferable**: Composability is king in DeFi. As explained above,`rMAV` tokens can be transferred, hence leveraged elsewhere like in money-markets, liquidity pools… * **Permanent Maximum Voting Power**: we lock `MAV` forever. This `rMAV`grants the maximum voting power, with no need for further actions on your side. * **On-Chain Voting Market**: on Rogue, sell your `rMAV` votes to the highest bidder. Protocols can now incentivize `rMAV` holders to vote for their pools. * **Yield Bearing:** But that's not all. When you lock your `MAV` on Rogue, you also: * earn trading fees from Maverick AMM (if turned on) * earn Rogue platform incentives * are eligible for future `veMAV` airdrops * And there's more on the horizon 👀 * **Seamlessly Omni-Chain:** Cross-Chain governance is a hot topic right now. The number of protocols opting for a multichain deployment from inception is increasing. Maverick AMM didn’t miss on that task. Rogue follows this path too: `rMAV` is omni-chain, adhering to LayerZero OFT standard, making governance UX hassle-free and secure. In a world where gas price on Main-net can out-price regular users, you’ll be able to vote, stake and earn across supported chains. Wrapping up ----------- Through Boosted Positions, Maverick introduces a new metric, **incentives efficiency**: any protocol can now attract liquidity with precision, at a fraction of the cost of what’s currently possible. And by holding `veMAV` tokens, holders gain the ability to guide `MAV` incentives, amplifying liquidity where it's most needed. And for more composability and flexibility, we created `rMAV`: a more efficient ticket to Maverick Governance. That’s pretty much it. You just got a glimpse of what we’re building on Maverick and why. Don’t worry, there’s a lot more. Interested in your thoughts, anon! Join our community on [Discord](https://discord.gg/FvQbzXMFnH) and follow us on [X](https://twitter.com/roguefi_) to share them and get the latest updates on Rogue! --- *Originally published on [Rogue](https://paragraph.com/@roguefinance/rmav-vemav-gone-rogue)*