MELD ISPO FAQ

What was an ISPO? What did participants receive from joining the ISPO?

An ISPO was a revolutionary way for investors and the community to support MELD using the Cardano blockchain. Delegating ADA to the MELD ISPO stake pool rewarded participants with MELD tokens based on the amount and duration of ADA staked. The ISPO ran from July 1 to December 8. Participants staking for the full period received approximately 2 MELD for each ADA staked.

How was the delegation to the MELD ISPO done?

• Choosing Delegate in the wallet.

• Finding the MELD ISPO: In the delegation section, the MELD stake pools needed to be found. This was a simple search process - typing in MELD brought up results for all the MELD ISPO pools. Then a pool had to be chosen for delegation.

• Delegating: Once the MELD stake pools were found, a pool could be chosen to delegate ADA into. Delegation involved clicking on the Delegate button, choosing the amount to delegate to that pool, and then confirming by clicking on the Delegate button.

What happened if staking started later, such as in August, resulting in less than 32 epochs of staking? Was the reward still approximately 2 MELD or was it 0.065 per ADA?

The reward mechanism was designed to offer 0.065 MELD per epoch on 100% pools like MELD3. Therefore, if a participant didn't stake for the full 32 epochs, the reward was based on the number of epochs they staked for. For instance, if staking started in August and continued until the ISPO closed in December (approximately 27-28 epochs), then the reward would be around 1.82 MELD per ADA staked, based on the equation (28 × 0.065).

How did the MELD ISPO raise funds, and what were the benefits for all parties?

Participants could easily join with just 1 ADA and a wallet like Daedalus or Yoroi, and no sign-up was required. All data was completely transparent on the Blockchain. Staking with MELD resulted in MELD tokens being airdropped to participants. They could unstake at any time and still receive the amount for the staked duration, which was available after the launch in December. Early stakers received more than 2 MELD for each staked ADA. The ISPO officially launched on July 1st, but over 60 early delegators had already joined. After the ISPO, the margin was reduced close to 0 for participants to get ADA rewards as usual. MELD did not need to cash out the ADA rewards, enabling continuous staking to help maintain the Blockchain and earn even more ADA.

Why were the coins only distributed on December 8th and not when smart contracts went live?

MELD was able to mint and distribute Native Tokens since early in the year. However, the compatibility of these tokens with the MELD protocol was uncertain. The goal was to ensure the MELD token had utility, as it was used in one-sided liquidity pools with algorithmic minting and burning, necessitating a complex Monetary Policy. The MELD team wanted to create the best policy for the MELD token before minting, rather than minting an inflexible token and adding friction later to make the Smart Contracts compatible with it. Hence, the decision was made to thoroughly test on the full smart contracts on the testnet before finalizing the policy for minting on the mainnet.

What was the difference between MELD1, MELD2, and MELD3?

• MELD1 (100% MELD) (FULLY SATURATED): This ISPO offered 100% of rewards in MELD.

• MELD2 (50% MELD 50% ADA): This ISPO offered 50% of rewards in MELD and 50% rewards in ADA.

• MELD3 (100% MELD) (FULLY SATURATED): This ISPO offered 100% of rewards in MELD.