Wrapping

By design, VTX tokens may only be transferred to accounts which already hold VTX. This creates an insular network meant to bolster the VTX community.

In order to interact with the broader defi ecosystem, VTX tokens must first be wrapped into wVTX, which is a standard SPL Token.

Wrapping

VTX holders may wrap their tokens into wVTX through the on-chain VTX program. Wrapping incurs a fee of 20%, 5% of which goes towards funding the invite system, and the remainder of which is redeemable as a rebate on unwrapping.

$$\text{wVTX Received} = \text{VTX Wrapped} \cdot (1 - \text{WrapTaxRate})$$

As an example, a user wrapping 100 VTX would receive 80 wVTX.

Unwrapping

Similar to wrapping, wVTX holders may unwrap their tokens and through the on-chain VTX program. Users receive the aforementioned rebate upon unwrapping, as a reward for re-entering the VTX ecosystem.

$$\text{VTX Received} = \text{wVTX Unwrapped} \cdot (1 + \text{UnwrapRebateRate})$$

As an example, a user unwrapping 80 wVTX would receive 95 VTX.