bronto

Dilution Protection

How ve(3,3) model mitigates dilution

$veBRONTO holders receive automatic rebases proportional to $BRONTO emissions and relative to the ratio of $veBRONTO to $BRONTO total supply. This elegant mechanism ensures that committed protocol supporters maintain their governance power and economic rights over time.

The Mathematics of Anti-Dilution

The weekly rebase amount is calculated with precision using the following formula:

rebase = weekly emissions × (1 - veBRONTO.totalSupply ÷ BRONTO.totalsupply)ˆ2 × 0.5

This formula creates a dynamic anti-dilution system with powerful game theory implications:

  • When locking rates decrease (lower $veBRONTO to $BRONTO ratio), rebases become more substantial
  • This creates a counter-cyclical incentive mechanism that rewards new lockers when others are exiting
  • Zero manual actions required—rebases happen automatically

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