$MIN Staking
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On the $MIN holders have two options to stake their $MIN and earn $ADA rewards generated from the Fee Switch, along with potential extra rewards from project incentives. Every time someone swaps on Minswap, there is a 0.3% fee, of which 0.05% is the Fee Switch. The $ADA generated through it is redirected towards $MIN Stakers. Every month $ADA rewards for the entire month are accumulated and then distributed the month after, similar to how $ADA rewards are distributed to LPs.
9-month staking (Tiered Contract):
Users commit their $MIN for a fixed 9-month period and receive consistent staking rewards throughout.
This option offers higher rewards due to its long-term commitment.
Early redemption is allowed but results in penalties on accrued rewards proportional to how early you redeem.
Once the staking period ends, users can claim all rewards and $MIN by redeeming.
Liquid staking:
Users can stake their $MIN with the flexibility to withdraw or reallocate at any time without penalties.
Rewards are partially tied to ADA delegation rates and are generally lower than those offered by the 9-month staking option.
This option provides greater liquidity and control over staked assets.
The Fee Switch generates $ADA rewards from trading fees, which are distributed monthly to stakers.
Forfeited rewards from early redemptions in the Tiered Contract are collected and redistributed to other stakers.
In its current iteration, $MIN Stakers will purely have the following 2 benefits:
$ADA Real Yield comes directly from Trading Fees the platform generates.
Governance say as any $MIN Holder would have, with the same voting power.