What is iAERO?

iAERO is a liquid staking derivative protocol built on top of Aerodrome Finance's veAERO system.

The Problem

Traditional veAERO locking requires users to choose between:

  • Liquidity - Keeping AERO liquid but earning no voting rewards

  • Rewards - Locking AERO for up to 4 years but losing access to capital

The Solution

iAERO solves this dilemma by:

  1. Pooling deposits into a protocol-owned vault

  2. Permanently locking veAERO positions for maximum voting power

  3. Issuing iAERO tokens as liquid receipts for deposits

  4. Distributing rewards to iAERO stakers

How It Works

Key Components

  • PermalockVault: Manages veAERO NFTs and deposits

  • iAERO Token: 1:1 receipt token for AERO deposits (minus fees)

  • LIQ Token: Bonus emission token with halving schedule

  • StakingDistributor: Handles reward distribution to stakers

  • RewardsHarvester: Claims and processes Aerodrome rewards

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