# Overview and RBN tokenomics

Ribbon DAO consists of multiple smart contracts. Governor Bravo's standard one token, one vote method is expanded to include a weighting system based on locking RBN for veRBN tokens.

Ribbon DAO has two tokens:

1.  [RBN](https://www.coingecko.com/en/coins/ribbon-finance)
   * governance voting
2. [veRBN](https://etherscan.io/address/0x19854C9A5fFa8116f48f984bDF946fB9CEa9B5f7) (vote-escrowed RBN) 
   * governance voting
   * gauge voting
   * boosts $RBN rewards earned on staked vault tokens
   * gauge voting bribe yield in ETH, USDC, RBN
   * boosting bribe yield in ETH, USDC, RBN
   * share of protocol revenue

Source code for the Ribbon DAO can be found on [Github](https://github.com/ribbon-finance/governance/tree/main/contracts).

## Token distribution

<figure><img src="https://files.gitbook.com/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F-MVFqgfeL1BL15YGTBdD%2Fuploads%2FDxsuMy6BVRrDkbzxERrc%2FScreen%20Shot%202022-08-17%20at%203.19.54%20PM.png?alt=media&#x26;token=a00e52c5-c587-4e8e-8d18-60cb43b5d49e" alt=""><figcaption></figcaption></figure>

**- 49% to Community Treasury**\
This community treasury is controlled by RBN Governance, and can be used to incentivize liquidity mining programs, provide provide grants to developers, and other programs to improve the protocol. 20% of this supply is unlocked immediately, and the remaining is vested linearly over 3 years starting from 24th May 2021.

**- 23% to Current and Future Team**\
These tokens go to the current team members as well as future team. This entire allocation is on a 3-year vesting schedule, with a 1-year cliff, starting from 24th May 2021.

**- 15% to Current Investors**\
These tokens go to the existing Ribbon investors over two private funding rounds to fund the development of the project thus far. This entire allocation is on a 3-year vesting schedule, with a 1-year cliff, starting from 24th May 2021.

**- 8% to Corporate Property**\
These tokens goes to the company behind the development of the Ribbon protocol. These tokens are reserved for advisors, future fundraises, and future employees, who will all have a similar vesting schedule based on when the agreements are executed.

**- 3% to Retroactive Airdrop Recipients**\
These tokens go to the [RBN Retroactive Airdrop 71](https://ribbonfinance.medium.com/rbn-airdrop-distribution-70b6cb0b870c) which took place on the 25th of May 2021. This allocation is not locked.

**- 1% to Liquidity Mining Participants**\
These tokens go to the first Liquidity Mining program, which was part of [RGP-2 19](https://ribbonfinance.medium.com/rgp-2-liquidity-mining-program-cc81f0b7a270) that took place on 16th June 2021. This allocation is not locked.

**- 1% to Initial Market Makers**\
These tokens go to the initial market making firms that provided services from the first week of the Theta Vaults operations onward. This entire allocation is on a 1-year vesting schedule, starting from 24th May 2021.