Eggs

🥚What Are Eggs?

Eggs are a starting point. Think of them as unclaimed xFLY tokens, our governance token that give you access to protocol emissions, bribes, reduced slippage on voted pairs and moaar. You can’t trade them, but you can hatch them if you're active in the ecosystem. If you do nothing, they’ll eventually rot. But if you participate: lock some FLY, trade on fly.trade, your Eggs will hatch into xFLY over time.

1 Egg = 1 xFLY

• Eggs hatch based on your xFLY balance

• No xFLY or lesser than 1:1 xFLY? The Eggs begin to rot

• More xFLY? The Eggs hatch faster

Why Eggs?

We’ve built this system to reward participation. The Earndrop™ is designed to distribute FLY gradually and only to those who show continued interest in the protocol. The more you use Fly, the more your Eggs hatch. The less you do, the more they decay. It's fair, and more importantly, it aligns incentives with the people actually helping Fly grow. While Fly has airdropped already to their loyal users upon TGE, Earndrop™ is one of the next phases of incentivising users from the Fly Ecosystem.

Key Terms

🐣 Hatching

If your xFLY balance is above a minimum threshold, your Eggs begin to hatch over time and convert into xFLY. The more xFLY you hold, the faster this hatching process becomes. Minimum Threshold is 1:1 (Hatching starts when you have 1 xFLY for every egg that you have received)

💀 Rotting

If your xFLY balance is below the threshold, your Eggs start to rot.

• <100% xFLY balance = Rotting

• Eggs rot 25% per week

• Fully rot in 28 days

This ensures that only active, engaged users are rewarded long-term.

Setting Up Your Nest

Once you have Eggs, the next step is building a nest, that means holding enough xFLY to prevent rotting and start hatching. You can:

• Lock FLY → get xFLY

• Hold xFLY→ Eggs start hatching.

This system mirrors our broader design goal: to reward people who contribute to the ecosystem through action.

⏱️ Rate of Hatching

The hatch rate is dynamic and depends on your xFLY balance, here is a simplified example

Pro Tip: The more Eggs you hatch, the more your xFLY balance grows hence accelerating future hatch rates. Minimum APY being >100%.

What Happens After Hatching?

Once Eggs are hatched, you hold xFLY which is used for:

• Governance: vote on emissions, fees, asset prioritization

• Rewards: earn a cut of ecosystem revenue

• Exit to FLY: vest xFLY into liquid FLY over time

xFLY is your active role in the Fly ecosystem. Whether you're a trader, a voter, or both, it’s how you shape Fly’s direction and earn from its growth

Eggs in the Fly ecosystem are more than just airdrop rewards, they're a gamified incentive structure that encourages ongoing engagement. Whether you're a new user or a seasoned DeFi explorer, understanding how Eggs hatch and rot can help you maximize your rewards and stay ahead of the game.A massive thank you to all the incredible whitelisted projects from the Earndrop™. Your work is helping shape the future of DeFi. We're excited to include your communities in this journey and reward their participation as a token of appreciation for your contribution to a more collaborative, user-driven ecosystem.