Reward Boosting System
The rewards boosting model is based off Tetu finance.
When users join farming pools, they immediately start earning rewards. It will take 28 days to be eligible to claim 100% rewards. It is possible to immediately claim 30% of the rewards entitled to receive from the 1st day, but the rest will be redistributed to all participants in the underlying vault. Rewards entitled for claiming will be increasing each day on the vault proportionately up to the 28th day.
After 14 days, users will be eligible to claim 65% of the total rewards. (30% base + 35% referring to the first 14 days of participation in the vault, the remaining 35% will be achieved linearly until the 28th day, thus completing 100% rewards).
Users who claim earlier than 100% will have their remaining rewards left to be redistributed to the vault, let’s say users claim rewards with 75% of the total, the remaining 25% rewards will be redistributed to every other participant on the underlying vault. This redistribution will increase future rewards for everyone who remains in the vault.
Once claimed, no matter in what ratio, the reward bar will be reset to 30% again boosting to 100% in 28 days. Users are able to deposit and withdraw from the vault without any effects on the rewards bar, only claim actions reset the bar.
The new Reward Boosting system creates a Game Theory dynamic in which users are rewarded for not claiming rewards for a short period, and even more encouraged to stay in the vault for a longer period as they will be receiving redistributed XQUI rewards from other users which claimed them before the 28-day period. The Reward Boosting System even has the potential to regulate rewards distributed during a market panic.
Last modified 9mo ago