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iAero Protocol, a Base-native liquid staking protocol that enables users to earn Aerodrome voting rewards without lockup requirements, has stunned the crypto ecosystem with a big update today.
According to an official announcement from the platform, iAero has launched its Token Sweeper, an application that enables users to swap multiple tokens in a single transaction.
While this marks a major milestone for the protocol, it also announced it has released Season 1, a six-month campaign distributing 5% of LIQ token supply to iAERO stakers.
As designed, iAero Protocol allows users to deposit AERO or veAERO and receive liquid iAERO tokens. This provides liquidity for vote-escrowed positions while maintaining exposure to Aerodrome voting rewards.
While vote-escrowed token models require users to lock capital to earn yields, yiAero Protocol offers an alternative approach: users deposit AERO, receive liquid iAERO, and can unstake at any time without penalties.
To reward its users, the protocol distributes 88% of its revenue to iAERO & LIQ stakers, with sources including Aerodrome voting rewards, bribe payments, and trading fees. Meanwhile, current staking returns are approximately 35% APR, derived from protocol revenue.
Following the launch of the Token Sweeper, it will address wallet fragmentation caused by accumulated tokens from airdrops, yield farming, and trading activity.
Per the announcement, the application enables users to swap multiple tokens into USDC or WETH in a single transaction, in batches. Also, it routes through over 100 DEXs via aggregation to optimize execution.
Furthermore, it enables users to spam tokens using updated blocklists automatically and to simulate transactions before execution.
Notably, the application supports nine networks, which include Base, Ethereum, Arbitrum, Optimism, Polygon, BNB Chain, Avalanche, Scroll, and Linea. Protocol fees are 0.05%.
During the Season 1 distribution, users are awarded 1 point per iAERO stake per day for 6 months. In conclusion, 5% of the LIQ fully diluted value will be distributed pro rata based on accumulated points. A public leaderboard tracks participant standings.
It is important to note that campaign rewards sustained staking participation while remaining accessible to new participants throughout the season.
The announcement further revealed that iAero Protocol aggregates user deposits into a collectively managed veAERO position on Aerodrome, Base’s primary decentralized exchange. This structure enables smaller depositors to access yields typically available only to large veAERO holders.
While Coinbase develops Base and has established a significant Layer 2 market presence, Aerodrome processes substantial daily trading volume, generating fee revenue for veAERO holders.
Notably, iAero’s liquid staking model converts this yield stream into accessible returns for iAERO stakers.
Source: https://zycrypto.com/iaero-protocol-announces-launch-of-its-token-sweeper-distributes-5-of-liq-supply-to-stakers/
