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An updated and modular veFPIS
veFPIS is an updated and vesting+yield system for the FPIS governance token. Similar to veFXS, users may lock their FPIS for up to 4 years for four times the amount of veFPIS (e.g. 100 FPIS locked for 4 years returns 400 veFPIS). veFPIS is not a transferable token nor does it trade on liquid markets. It's akin to an account based point system that signifies the vesting duration of the wallet's locked FXS tokens within the protocol.
The veFPIS balance linearly decreases as tokens approach their lock expiry, approaching 1 veFPIS per 1 FPIS at zero lock time remaining.
veFPIS has an additional "DeFi whitelist" for smart contracts that add modular functionality to the staking system. Governance can approve each new whitelisted DeFi feature. For example, a liquidation contract can be whitelisted by governance which allows a staker's underlying FPIS tokens to be liquidated if they borrow against their veFPIS balance. Users will have to approve each DeFi whitelisted contract to spend their FPIS tokens before the new functionality can be unlocked for each user. This allows the staking system to remain fully trustless so that no extra logic can access a staker's veFPIS balance without a staker's approval thus keeping modules opt-in per wallet address. This system allows governance to add new iterative functionality to veFPIS staking such as "slashing conditions" and new ways to earn higher yield (and potentially be slashed if users opt-in) by adding smart contracts which allow veFPIS holders to vote on CPI gauge weights, borrow FPI, or control liquidity deployment.