42. All You Need To Know About Staking v2
Staking v2: Smoother, cheaper, and simpler.
We are committed to improving everything that we offer. To upgrade our staking platform to v2, we considered the dream features and safeguards that crypto enthusiasts crave. We always aim to deliver a premium experience across our ecosystem.
Illuvium is thrilled to deliver a user-friendly v2 app to our ILV token holders.
This is not financial advice and is strictly for educational purposes.
What’s Staking v2?
Staking v2 extends the functionality of the existing system. Beyond bug fixes and streamlining QoL workflows, the upgrade offers our token holders new-and-improved features, gas efficiency, and a new user-friendly interface.
These user experience enhancements are possible thanks to critical improvements we made to our staking contracts. We conducted and passed various external audits to ensure our v2 contracts were secure.
The upgraded contracts and interface give v2 users the power to claim rewards from multiple pools in one transaction, claim their revenue distributions, and more.
Staking v2 is a mandatory update for all those staking in the Illuvium Protocol. We want all of our stakers to experience the full benefits of the upgraded system and leave no ILV token holder behind.
I’m brand new to staking $ILV. How do I stake in v2?
For those new to our staking program, welcome! Upgraded to v2, the staking platform allows Illuvium community members to claim the protocol’s yield and revenue distributions and use the dashboard to view pending and vesting rewards, deposits, pricing, etc.
Please read this article to learn more about the fundamentals of our staking program: 28. Everything you need to know about staking $ILV.
Watch this tutorial video to learn how to start staking your ILV in our v2 platform:
Go to our official staking V2 dashboard, and always verify that you are going to our official website domain: Illuvium | Staking
I’m staking in v1. What are the steps of the upgrade process? Do I need to do anything?
Staking v2 Rewards will go live on 13:00 UTC March 31, 2022
Go to our official staking V2 dashboard, and always verify that you are going to our official website domain: https://staking.illuvium.io
Staking v1 users must upgrade to v2 before receiving yield; however, they can still upgrade after the window closes.
The new v2 contracts enable users to maintain their weight without doing anything. For smaller stakers, this is a win. For larger stakers, this will probably result in slightly higher gas fees. The current advice for larger stakers is to unstake from v1 and restake in v2. Staking v2 is still far cheaper than v1; however, for gas optimisation, all deposits should be in v2.
If you are staking in v1 and need to upgrade to v2, the first step is to ensure you’re clear on your deposit types.
- Locked deposits are deposits made with a lock duration and are still locked.
- Unlocked deposits are deposits made with a lock duration but have now unlocked.
- Flexible deposits are deposits without a lock duration.
For Locked and Unlocked Deposits
If you have locked or unlocked deposits in either the ILV or the ETH/ILV pool, you will need to upgrade the relevant pools to continue to receive rewards in Staking v2.
For those only staked in the ILV pool, you will only need to upgrade the ILV pool. To do this, click the Upgrade ILV Pool button.
You will need to upgrade both pools if you are staked in the ILV/ETH pool. Click the Upgrade ILV Pool and Upgrade ILV/ETH Pool buttons.
Your Pending and Accumulated rewards are claimed when upgrading the ILV pool. A Merkle Tree of each user’s accumulated yield weight in v1 will be published and stored in IPFS for full transparency. Anyone will be able to verify the authenticity of the data.
For Flexible Deposits
If you have flexible deposits, to continue receiving rewards, you will need to Upgrade the ILV pool and upgrade your existing yield rewards by clicking the “Upgrade Yield and Claim Rewards” button.
This will open the Upgrade Yield and Claim Rewards modal. Once opened, you can select whether you would like to claim your rewards in ILV or sILv2 and click the “Claim Rewards and Upgrade Yield” button.
You will also need to withdraw and re-stake to continue receiving rewards from your deposits. The interface will show you a warning notification about this.
To withdraw, navigate to Vesting, and the interface will highlight the relevant deposits in red. Select the flexible deposit you would like to withdraw, and click withdraw.
Once you have completed your withdrawal, you can deposit into either pool by clicking the Staking nav item and then stake into the relevant pool.
Please note: Both v2 pools have a minimum lock duration of 1 month.
Pool Weights and Lockups in v2
- Flexible Deposit in ILV Pool — Doesn’t count to yield in v2 unless unstaked and locked for a minimum period of 1 month in v2.
- Flexible Deposit in LP Pool — Doesn’t count to yield in v2 unless unstaked and locked for a minimum of 1 month in v2.
- Locked Deposit in ILV Pool — Counts to yield rewards after upgrading to v2 at the current weight.
- Unlocked Deposit in ILV Pool — Counts to yield rewards after upgrading to v2 at the current weight.
- Locked Deposit in LP Pool — Counts to yield rewards after upgrading to v2 at the current weight.
- Unlocked Deposit in LP Pool — Counts to yield rewards after upgrading to v2 at the current weight.
- Locked ILV Yield — Counts to yield rewards after upgrading to v2 at the current weight.
- Unlocked ILV Yield — N/A (Has not been 12 months since launch but will continue to count to yield rewards even after unlocked)
- Seed and Team — Automatically migrated to v2 and not counted towards yield.
Rewards in v2
All of the outstanding rewards resulting from the pause in the reward emission in v1 will be claimed when upgrading the ILV pool.
When upgrading the pool, The interface will show you both the amount of the pending rewards available from before and all of the accumulated rewards you are eligible for since the pause period started.
Features and Benefits
Conveniently Batch Rewards Claiming or Unstaking In Single Transactions
v2 offers the convenience of two types of batched actions. Claim your rewards from all pools in a single transaction. Unstake all unlocked tokens in a single transaction. You’ll no longer be required to claim on each stake and unstake function. By bundling these actions into single transactions, you pay gas just once per transaction — and minimise your gas fees.
Gas Optimisation For Cheaper Transactions
We’ve significantly reduced your gas fees in our new architecture. By reducing the number of storage slots used by the deposit data structure, implementing new and better yield processing flows, and optimising the number of reads, your transactions on our v2 platform will be much cheaper.
Secure Your Tokens In A New ETH Address Via Transfer Wallet
New v2 stakers will be able to use Transfer Wallet and have the peace of mind of having an option to try averting token theft in v2. If your private key gets leaked, v2 allows you to transfer the final position of your tokens to a different wallet address. Redirect where your totals will deposit, so they don’t end up back in the compromised wallet and stolen. In v2, you can use Change Wallet while your tokens are safely locked up and earning rewards, so they end up in the right ETH address when they unlock.
The Transfer Wallet feature is restricted to wallets with no v1 staking history for security reasons. We recommend that users create a new wallet to begin staking in v2 if they would like to use this feature.
Exception: If you only deposited into the LP pool in v1, then v2 deposits can be transferred. We will investigate future upgrades that could return this feature to other users.
Flexible New Architecture To Integrate Future Upgrades
We implemented the Universal Upgradeable Proxy Standard in v2 (Factory, Core Pools, and Flash Pools). This blockchain solution enables us to continuously integrate new features, refine existing features, and expand our capabilities.
We know members of our community will have brilliant ideas for improvement. ILV token holders can participate in governance and steer the DAO to new possibilities. Our governance model has always given power to our token holders by encouraging them to propose changes that could benefit the future of our project — from staking features to new products and more.
In v2, with the Universal Upgradeable Proxy Standard, we stay true to the “Govern-To-Earn” mantra on the blockchain development side. By reinforcing our flexible new architecture with upgradeability, our protocol can keep innovating in step with our evolving DAO community so that Staking v3 and beyond will be even better.
Reserving Our Benefits For Long-Term Token Holders
We’re taking measures to ensure the most benefits go to token holders who are with us for the long haul. One such action is removing the Flexible Staking feature in v2. Token holders that flexibly staked in v1 will be required to lock up for one month when they stake in v2. Removing flexible staking reduces ILV token circulation and keeps distributions flowing to long-term holders. Note: Weight calculations will still follow the same 1:2 multiplier used in v1, keeping the system fair and balanced for all.
A separate IIP is in progress with more details on the NFT distribution integration, but Staking v2 will include all the features required to make this integration seamless.
To learn more about Illuvium’s governance model, how liquidity mining works, the vault distributions, and dive deeper into the utility of ILV, head to our Staking FAQ on our official website.
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