- Velora replaces its existing $PSP token with $VLR at a 1:1 ratio, introducing enhanced staking rewards tied to liquidity contribution and deeper governance participation.
- Velora deploys on Coinbase-backed Base for lower fees, faster execution, and closer integration with the Optimism Superchain ecosystem.
- 10% of the total $VLR supply is allocated for migration and growth incentives, with a gasless, one-click migration portal open for three months.
Velora, a decentralized trading protocol earlier known as ParaSwap, today introduced a new governance and staking token, $VLR. It has also announced its deployment on Coinbase’s Layer 2 blockchain, Base. The move signals Velora’s next chapter as a crosschain, intent-driven protocol focused on performance, user-centric design, and scalable governance.
The $VLR token replaces the existing $PSP at a 1:1 ratio and is designed to go beyond traditional governance. Holders will be able to stake their tokens and earn rewards based on liquidity contribution across supported chains—prioritizing utility and active engagement over passive holding. To spur adoption, Velora has allocated 10% of the total $VLR supply toward migration incentives and ecosystem expansion.
In parallel, Velora is launching a four-week Trading and Staking Competition, incentivizing users with digital badges, leaderboard rewards, and additional $VLR bonuses. The competition will feature rotating bonus tokens and chains each week, positioning it as both a community engagement initiative and a liquidity growth strategy.
The transition comes with a user-friendly migration interface that allows for one-click swaps from $PSP to $VLR, with no gas fees on the Base network. This migration window will be open for three months, giving users ample time to participate.
Velora’s expansion to Base is a calculated step. Backed by Coinbase and integrated into the broader Optimism Superchain vision, Base offers ultra-low gas fees, rapid finality, and a rapidly growing developer and user ecosystem. Velora’s integration aligns with the growing narrative that Layer 2 networks are central to Ethereum’s long-term scalability and user adoption.
“Legacy aggregators are limited by rigid smart contracts and same-chain execution,” said Velora Founder Mounir Benchemled in a statement earlier this year. “Intents offer greater flexibility, giving users more control over how and when their trades are executed.”
Intent-based trading has gained momentum in the decentralized finance space, popularized by protocols such as Anoma and CowSwap. Velora aims to take this a step further with Super Hooks—customizable transaction conditions across chains—and gasless swaps, which remove entry barriers for new users.
The platform’s governance structure is also evolving. Recent proposals such as PIP-60 (expansion to Base) and PIP-56 (VLR migration roadmap) passed with community support. Velora plans to increase the frequency and impact of protocol improvement proposals, setting the stage for a more community-led development process.
Velora’s transformation arrives as DeFi continues its recovery from a turbulent 2022–2023 cycle, with renewed investor interest in efficient, multichain solutions. Protocols capable of offering low-friction trading, smart order routing, and strong governance frameworks are increasingly seen as the next wave in onchain finance.
With over $100 billion in cumulative trading volume since its inception as ParaSwap in 2019, Velora builds on a deeply battle-tested foundation as it transitions into a next-generation intent-native trading protocol.
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Image Credits: Velora, Canva