What is Blur (BLUR)?

Blur (BLUR) is a cryptocurrency that powers the Blur ecosystem, which includes the Blur marketplace, aggregators, and the lending protocol known as Blend. The Blur foundation facilitates community-led governance, allowing members to actively participate in the decision-making processes of the ecosystem. The foundation's primary goal is to foster the development and growth of the Blur ecosystem.

How does Blur (BLUR) work?

BLUR operates as an ERC-20 token and plays a pivotal role in governing the Blur marketplace protocol and the Blend lending protocol. The amount of BLUR tokens a user holds or is delegated determines their voting power. This decentralized approach ensures that most decisions made by the Blur DAO have on-chain results, following a multi-step governance process. Proposals, known as Blur Improvement Proposals (BIPs), can be categorized into Core, Process, or Informational, each serving a distinct purpose within the ecosystem.

What is the significance of BLUR's tokenomics?

A total of 3 billion BLUR tokens were minted at genesis, with a distribution plan spanning 4 to 5 years. The allocation is as follows:

• 51% to Blur community members

• 29% to past and future core contributors with 4-year vesting

• 19% to investors with 4-year vesting

• 1% to advisors with 4 to 5-year vesting

The community treasury holds 12% of BLUR, with provisions for claims by all NFT traders across any marketplace within a specified timeframe. The treasury also has a significant portion of the BLUR supply to distribute to the community through various initiatives.

How does the Blend lending protocol fit into the Blur ecosystem?

Blend is a peer-to-peer perpetual lending protocol introduced by Blur. It supports arbitrary collateral, including NFTs, and operates without the need for oracles. Blend matches borrowers with lenders based on competitive rates, using an off-chain offer protocol. By default, Blend loans have fixed rates and don't expire. However, if a lender wishes to exit their position, they can trigger a Dutch auction to find a new lender at a new rate.

Why should someone consider Blur (BLUR)?

Blur offers a decentralized approach to governance, allowing the community to have a say in the direction of the ecosystem. With its unique tokenomics and the introduction of the Blend lending protocol, Blur aims to revolutionize the way lending and borrowing occur in the crypto space. Moreover, the protocol's design ensures flexibility, permissionless operations, and adaptability to changing market conditions.