FIP-1 Approved: Prime FF Staking for Long-Term Alignment

Falcon Finance is growing quickly, and with that growth comes a stronger need for alignment between long-term holders and the direction of the protocol. As the ecosystem expands, governance and rewards should reflect the commitment of users who genuinely believe in Falcon’s long-term vision.

The community has now approved FIP-1, Falcon’s first Falcon Improvement Proposal. With this vote, a new dual staking structure has been implemented following the deployment of the necessary smart contract updates, giving every FF holder more clarity, more choice, and governance influence that reflects their level of commitment.

Below is a clear breakdown of what’s changing and what it means for you.

What Was Approved

FIP-1 introduces Prime FF Staking (sFF-Prime), a staking path designed for holders who want deeper alignment with Falcon’s long-term growth, stronger governance influence, and more intentional participation in the protocol.

With the proposal passing, the following changes will be implemented following integration:

A new Prime FF Staking pool (sFF-Prime) with a 180-day lock-up and 5.22% native FF yield, reserved for long-term aligned holders
10x Snapshot voting weight for Prime FF stakers
The existing Flexible FF Staking (sFF) pool shifts to 0.1% native FF yield with no lock-up
Both sFF yields may vary over time based on market and protocol conditions.

Why This Matters

Falcon Finance was built on the belief that stability and innovation grow best when the community is aligned. Over the past year, DeFi has repeatedly shown how quickly capital can move in and out of protocols. Short-term yield strategies often attract participants who stay only long enough to chase returns, not to help shape the future. That dynamic can pull governance away from long-term thinking.

With FIP-1, Falcon takes a deliberate step toward stronger alignment.

Prime FF Staking is designed to tie governance power and yield incentives to longer-term commitment, creating a steadier foundation where those shaping Falcon’s direction are meaningfully invested in its long-term success.

The Staking Structure

FIP-1 establishes two clear staking paths. Each serves a distinct purpose. Each lets you choose how you want to participate.

1. Staking Pools

Flexible FF Staking (sFF)

Lock-up: None
Native FF Yield: 0.1%
Best for: Users who prioritize liquidity and flexible participation

Prime FF Staking (sFF-Prime)

Lock-up: 180 days
Native FF Yield: 5.22% (Yield will accrue up to the 180th day of the lock-up.)
Best for: Long-term aligned holders seeking deeper participation in Falcon governance

All yields remain subject to change based on protocol development and market conditions.

2. Governance Weighting

Prime FF stakers will receive 10x the Snapshot voting weight of Flexible FF stakers.

Example:

Holding 100 sFF-Prime carries the same governance weight as holding 1,000 sFF.

This structure is designed to give greater governance influence to long-term aligned holders.

3. Unstaking Process

Once a Prime FF stake reaches the end of its 180-day commitment period, it can be unstaked immediately with no additional delay, improving capital efficiency.

Expected Outcomes

The approved dual-pool structure brings clarity and long-term resilience to the Falcon ecosystem:

Stronger governance alignment: Voting influence is weighted toward participants with longer-term commitments.
Reduced influence of short-term capital: The 180-day lock-up incentivizes sustained participation over transient yield strategies.
Clear incentive design: Flexible staking prioritizes liquidity. Prime staking prioritizes long-term alignment.

Falcon continues to grow with a community focused on conviction, alignment, and shared progress.

Thank you for voting and helping shape the next chapter of Falcon Finance!