# Rebase

$vePEG holders receive a rebase proportional to $PEG emissions and to the ratio of $vePEG to $PEG supply, reducing vote power dilution for $vePEG.

The weekly rebase amount is calculated with the following formula:

$$
rebase = weeklyEmissions × (1 - vePEG.totalSupply ÷ PEG.totalsupply)^2 × 0.5
$$

This rebase formula will reward $vePEG holders most when locking rates decrease, incentivizing new lockers to step in. $vePEG supply does not affect weekly emissions distributed to liquidity providers.<br>


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