The Marvelous Staking Program on Algebra Protocol

Algebra
4 min readSep 30, 2022

--

Welcome to Algebra Protocol! As days go by, we’re getting ready for the stunning QuickSwap and StellaSwap integrations with the help of both our concentrated liquidity and adaptive fees mechanics, which will allow us to activate the brand-new Staking 2.0 program. For that, we’ve already started obtaining the dev fees from QuickSwap, built on Dogechain, and will also start receiving the fees from QuickSwap V3 on Polygon and StellaSwap on the Moonbeam Network. But before that, let’s discover more details about the upcoming release in this very article.

Basic Participation Rules

To be eligible to join the Staking 2.0 on Algebra, you need to hold a certain amount of our platform token — $ALGB. Now, we’re going to get straight to the point — here are the main conditions:

Different Staking Periods

You’ll be able to take part in our staking for different periods: 1 / 3 / 6 / 9 / 12 months. The more you stake, the more you’ll have, depending on the duration of your staking participation. Meanwhile, the earlier you enter — the more you’ll earn, considering other conditions. Thus, all fees will be distributed among all our stakers.

Staking Coefficients

Depending on the time of the lock-up period, the size of the deposit increases. Each period has a certain coefficient, just like we had back then with our Multi-Level Farming system. We’ll have the following coefficients for each staking period:

  • 1 month — 1
  • 3 months — 1.2
  • 6 months — 1.5
  • 9 months — 2
  • 12 months — 2.5

Users will not be able to quit Staking 2.0 until the end of the lock period, and withdraw the deposited tokens. However, there will be an option to withdraw rewards, distributed in ALGB.

If your lock-up period is over, but your tokens are still staked with the same coefficient, the rewards of yours will still be generated, unless you decide to stop staking your crypto and claim your tokens.

Liquidity Migration in Two Clicks

If you are already an ALGB staker, but willing to enter the Staking 2.0 program, you don’t need to withdraw your liquidity — you can easily migrate your crypto from the previous staking program to the newer one in just two clicks.

To do so, approve your xALGB migration. We’ll publish a detailed step-by-step guide on how to enter staking, as well as transfer your crypto after the release. For now, you can see how it’ll work below, in this article.

Fees Distribution Method

All the fees coming from the projects which were equipped with our outstanding technologies, will be divided and distributed in the following proportion: 70% of the earnings will go to the stakers, 30% of them will go to our development team.

This principle of commissions’ distribution will be valid for several months after the release. Further, the distribution of funds might be reconsidered in the future.

Rewards are accrued with a certain periodicity, and are distributed among our users in proportion to their deposit.

The fees, coming from all Algebra-based DEXs, will also be used to buy-back the ALGB tokens and spread them among our holders.

New Approaches

With the new launch, you’ll need to lock ERC-20 tokens to join staking. In exchange, you’ll obtain NFTs, confirming your participation in our program.

If your wallet is compromised, you can easily transfer your NFT to another one.

The Staking 2.0 program does not include the auto compounding feature, meaning that minted tokens will not be added to our staking smart-contacts automatically. In order to stake your rewards, you need to do that manually.

Minimum APY for the Older Staking

For a short period of time after the launch of Staking 2.0, we will maintain a minimum staking percentage for the older staking on Algebra. This way, everyone will be able to transfer their ALGB funds to the new Staking program without any issues and losses.

Staking Participation Guides

How to Join the Algebra Staking 2.0?

Simpler than ever! Follow the instruction below:

1. Go to the Staking 2.0 page

2. Enter the amount of crypto you’d like to stake

3. Choose a staking period

4. Click “Stake”

5. Approve a transaction in Metamask

6. Congrats! Your ALGB tokens are now staked.

How to Transfer Crypto, Locked in the Previous Staking Program?

This one is even easier!

1. Go to the Staking 2.0 page

2. Choose a staking period

3. Click “Stake” (it will automatically detect your ALGB tokens staked in the previous staking)

4. Approve a transaction in Metamask

5. Congrats! Your ALGB tokens are now migrated to the Staking 2.0 smart contracts.

All in all, the celestial Staking 2.0 program on Algebra will not only open the new era of our project, but will also add up some profit to your e-wallets. Take advantage of the new launch, and earn with the QuickSwap and StellaSwap integrations, provided with our codebase, soon on our dApp. Choose your own rules to make sure that math rules!

About Algebra

Algebra is a breakthrough AMM, and a concentrated liquidity protocol for decentralized exchanges, running on adaptive fees. Providing projects with more user-friendly, fresh DeFi solutions and implementing the most efficient technologies, it reforms the DeFi field as we know it.

Telegram | Twitter | Discord | YouTube

--

--

Algebra

Algebra is a breakthrough AMM, and a concentrated liquidity protocol for decentralized exchanges, running on adaptive fees.