Introducing $BICO Staking!

Justin Ellery

Published in

Biconomy

4 min readApr 20, 2022

TL;DR

Earn BICO rewards for helping secure against shortfall events
Stake in BICO or BBPT to earn rewards
All withdrawals are subject to a 21-day mandatory cooldown period with a 3-day claim window (see below for more details)
Unlock Gasless staking when you stake more than 5,000 BICO or 1,500 BBPT

Safety Module

User safety has been and always will be a top priority at Biconomy, particularly when it comes to the risks involved with cross-chain transfers.

In response, we are now providing coverage through our safety module to protect our users from any future Shortfall event. The safety module gives BICO holders the opportunity to earn a yield on their BICO while simultaneously increasing the security of the protocol and providing liquidity.

Rewards: Earn tokens with over 370,000 in allocated BICO

Stakers will receive BICO tokens in exchange for securing the protocol due to involved risk with cross-chain transfers. Both BICO and BBPT can be staked within the module, either by staking BICO directly within the interface or in the case of BBPT, via the 80% BICO / 20% ETH pool.

BICO rewards can be claimed within the interface at any time on staked positions. In order to unstake BBPT or BICO, stakers will need to wait the 21-day cooldown period before they are able to withdraw their stake.

Note: once the 21-day cooldown period has ended, stakers have 3-days to withdraw their tokens. If tokens are not removed within the 3-day period, they will have to restart another 21-day cooldown period.

The smart contracts for Biconomy staking have been audited and tested at the highest standard. Our core governance and token contracts were inspired by the AAVE Safety Module. We have improvised on the respective smart contracts for our specific use case while ensuring that we maintain the safety and security provided by them. Our contracts are also audited by Halborn, the full report can be found here.

Security: Help protect against Shortfall Events

The main role of the Safety Module is to protect the protocol against unexpected loss of funds from any shortfall event. Apart from the Shortfall Events listed below, further interpretation of a Shortfall Event is subject to Biconomy Governance vote:

Chain Re-org Risk: Chain reorgs could pose a risk for the protocol in case of any cross-chain transfers pertaining to re-org blocks
Smart Contract Risk: Any risk arising due to the smart contract layer
Validator Network Risk: Any risk arising due to the protocol validator network layer

In the case of a Shortfall Event, token holder balances can be slashed and used to cover the losses. Slashed tokens may be auctioned in the open market to mitigate the incurred loss.

How it works

When BICO or BBPT holders deposit tokens into the staking module they will get a tokenized position — stkBICO for BICO and stkBBPT for BBPT, which can be withdrawn or transferred as an ERC20 token, after being subjected to the 21-day cool down period.

BICO Staking Process

BBPT Staking Process

Gasless

Gasless staking is currently available on both BICO and BBPT stakes of 5,000 tokens or more for BICO and 1,500 for BBPT with a limit of 2 gas free transactions per 20 days.