What is SundaeSwap ISO?
SundaeSwap is a decentralized finance (DeFi) project on Cardano that has as goal to deliver a decentralized exchange (DEX) on Cardano.
For more info SundaeSwap ISO
Like many exchanges SundaeSwap decided to provide a governance token for their DEX that can be used by the users of their DEX. Most of these governance tokens of exchanges have raised in value over time.
SundaeSwap has decided to distribute their tokens via an Initial Stake Pool Offering (ISO).
The SundaeSwap ISO will distribute these tokens to delegates that have staked their ADA to various different Cardano stake pools that have been shortlisted and voted upon by the community.
ADA stakeholder that wish to obtain SundaeSwap tokens will participate in the ISO by staking with an ISO stake pool. Participation is dependent on voting for those stake pools that shortlisted themselves. Beside being rewarded in ADA as per Cardano proof of stake protocol delegates will also receive SundaeSwap tokens.
So this gives another incentive for delegates to vote for their favorite stake pool. JUNO has shortlisted itself to SundaeSwap ISO to provide this incentive to its delegators, so please vote for us if you like to earn extra SundaeSwap tokens next to your ADA rewards.
Who can participate in the ISO?
Anyone that owns ADA can participate in the SundaeSwap ISO by staking their ADA with an SundaeSwap ISO stake pool.
What is the minimum amount of stake required to receive Sundae tokens?
The minimum amount of ADA you need to stake is 10 ADA to be eligible for Sundae tokens.
What wallets do support the Sundae token?
Any native Cardano wallet supports the Sundae token, most popular ones are:
- Daedalus a full node wallet (syncs the complete chain)
- Yoroi a mobile and web3 (operates in your browser) light wallet
- Nami a web3 wallet (integrated by SundaeSwap in their DEX and voting dashboard)
Although there are other wallets we advise you to use one of the above wallets, these wallets support staking your ADA to a stake pool.
When does the ISO start?
The SundaeSwap will start on November 11, Thursday at 21:45:00 UTC.
The dashboard will show you the time that is left to vote for your ISO stake pool.
The ISO itself will last for 25 days or 5 epochs, during this period you will be rewarded with Sundae tokens if your stake pool is chosen by the community.
How many Sundae tokens are distributed during the ISO?
5% of the public tokens will be distributed to the delegates that stake with SundaeSwap ISO stake pools. 1% being distributed every 5 days for a total of 25 days.
What can you do with the Sundae token?
The Sundae token can be used for voting on proposals for the DEX next to utility that is being provided within the DEX, for example discounts on trading.
How do you vote for JUNO ?
Stake your ADA with JUNO (see one of our guides how to stake your ADA) and after that go the to SundaeSwap voting dashboard with confirmed shortlisted stake pools where ADA stakeholders can vote on their favorite stake pool.
In case you have already staked your ADA with JUNO you just have to go to the voting dashboard.
You can visit the voting dashboard via the following url: SundaeVotingDashboard
SundaeSwap will distribute their tokens to the stake pools that get the most votes from the community.
For more information about voting visit the following url: SundaeSwap Voting
When will you receive your Sundae tokens?
As a delegate to your ISO stake pool you will receive the Sundae token at the end of every epoch. Based on the weight of ISO stake pool and the total amount that is staked, 1% will be divided amongst all delegates to ISO stake pools.
Distribution of tokens is meant not to be favored to large wallets. This means if your stake a super large amount you will get fewer Sundae tokens per ADA. The idea behind this is to end up with a fair distribution of tokens to the community.
You will receive your Sundae tokens along with your normal ADA rewards in the wallet you stake from to your favorite ISO stake pool.
We would appreciate if you as existing or new delegator would vote for JUNO, this helps us to get more exposure and helps you to receive free Sundae tokens if JUNO gets chosen as ISO for SundaeSwap. Thank you!
Final result
It is kind of disappointing that larger stake pools massively joined the SundaeSwap ISO and their delegators votes ended up at them. There are already signs that delegators will reallocate their stake to the SPOs that got elected by voting leaving the small stake pools behind in favor of some free Sundae tokens. This is not really benefitting the ecosystem regarding security and decentralization since the majority of stake will be concentrated with these large entities.
Going forward it seems that these large entities will make smaller stake pools like JUNO obsolete, first they opened multiple pools “farming” taking stake away from smaller stake pools, now they joined the SundaeSwap ISO massively and they will take again stake away from smaller pools.
As a smaller stake pool operator I am concerned about this development and I can only guess what is next, optimization of the network parameters in the advantage of larger stake pools which will push many smaller SPOs out of the ecosystem.
I hope it won’t get this far and delegators will start to realize that only a small group of SPOs will gain majority of votes in this ecosystem when it comes to governance.
When I joined Cardano in early 2017 I couldn’t have foreseen this development and I was under the impression that most stake pool operators were for true decentralization. Unfortunately I was wrong, the incentive for SPOs shows the real nature of many SPOs, it is all about their own success and not about the success of the Cardano ecosystem at all.
For the final results you can visit the following link: Winners of the SundaeSwap ISO
We like to thank everyone that voted for JUNO, unfortunately like many others we didn’t have any fair chance to be chosen as SundeaSwap ISO due to the limited amount of delegators and support from the community for smaller stake pools in the SundaeSwap ISO voting process.