pre-IDO HONEY, also referred to as pHONEY was rewarded to early users in the protocol. $pHONEY is not tradeable on any exchange and is not officially officially backed by any liquidity. Eventually, all pHONEY will be converted into HONEY. The conversion ratio between the two depends on how the tokens are converted. pHONEY can be converted into either locked or unlocked pools.
If pHONEY is deposited into a pool without locking (unlocked pool) the conversion rate from pHONEY to HONEY is 1:1. If pHONEY is locked in a locked pool, the conversion rate varies on the locking period. The longer the locking period, the higher the conversion ratio:
During the lock up periods, pHONEY depositors will will hold veHONEY. This veHONEY balance is calculated by the amount of HONEY to be received after lockup, and the duration which has been selected.
Deposit pHONEY into the unlocked pool "Convert pHONEY" in order to trade pHONEY into HONEY at a 1:1 ratio. You will start to earn your HONEY after 24 hours and over the course of 3 weeks. If you deposit 100 pHONEY, you will start to earn (after 24 hours) 4.76 $HONEY per day every day for 3 weeks.
Lock pHONEY into the locked pool "Vest pHONEY" in order to trade pHONEY into HONEY with a multiplier. Check the table above for conversion ratios. Select how much pHONEY you would like to deposit, then for how long you would like to deposit it for. The program will mint the right number of HONEY tokens at the conversion ratio you selected and will vest it for you.
Example: User locks 10 pHONEY for 12 months. 10 pHONEY is burned and 100 HONEY is minted, those 100 HONEY are vested for 12 months. User receives 25 veHONEY as per veHONEY conversion and can unlock the 100 HONEY in 12 months in exchange for their veHONEY.
Think of pHONEY like a DeFi airdrop to reward early users, except that here it was used to demonstrate the functionality of Honey's staking platform. Rewarding users before the launch of the official token secures the decentralisation and fair access of the protocol's governance. DAOs who have staked with us now have a say in the direction of Honey Finance.