Polkadot Harvest Unlock: Join Bifrost Liquid Staking (vDOT) and Earn Extra Rewards
A GREAT DOT UNLOCK
Today, as many of you who are deeply involved in the Polkadot ecosystem already know, a significant DOT unlock from the first crowdloan batch will happen in less than 24 hours.
Almost 10% of the circulating supply will be released from crowdloans, and many people are considering what to do with their unlocked DOTs to maximize returns before the bull market finally enters the game.
In this article, we’d like to tell you how to effectively utilise DOT using the Bifrost liquid staking, how to maximise staking rewards in the Polkadot Harvest Unlock, and more.
But first, what is Bifrost?
Bifrost is a DeFi project built upon the Polkadot ecosystem, aiming to offer liquidity for staked assets. Supporting a range of proof-of-stake tokens such as Polkadot (DOT), Ethereum (ETH), Kusama (KSM), and others, Bifrost presents the opportunity to generate yields without losing the ability to participate in other DeFi activities, such as liquidity mining, lending, etc.
What is liquid staking and vToken?
Bifrost provides the liquid staking solution for the Polkadot ecosystem. Meaning that users are able to stake parachains’ native tokens (for example, Polkadot, Moonbeam) or even stake Ethereum and other assets, and earn rewards with the help of liquid staking capital efficiency.
Unlike the native staking, using liquid staking users keep their liquidity unlocked. Instead of locking your DOT tokens, users receive vDOT token in exchange for staking.
That means, users earn staking rewards, and able to trade or farm using vTokens. Users can redeem their native tokens for vTokens and receive their initial deposit plus staking rewards for the corresponding period.
Polkadot Harvest Unlock — What are the benefits?
For community members who are waiting for the great DOT unlock, clearly there are several options how to utilise the unlocked DOT.
1. Native Staking (Pools, Validators)
2. Liquid staking (Bifrost vDOT)
3. Liquidity mining (HydraDX, Bifrost, Acala)
We’re already covered all pros and cons of all options in our previous articles, check it out to learn more. In this article, we’re focusing on the liquid staking option.
Bifrost is launching the Polkadot Harvest Unlock campaign to celebrate the substantial DOT unlock. Once your DOT is unlocked, converting to vDOT could be one of your most profitable options for managing your DOT.
The multiple utilities of vDOT include:
- Extra APY up to 50% (extra incentives during the campaign)
- Leverage your assets (Re-stake your vDOT for increased staking reward leveraging)
- Support OpenGov (Use your vDOT to vote in Polkadot OpenGov proposals)
How to participate? — Mint vDOT and earn extra rewards
If you participated in the first batch of Polkadot crowdloans (Acala, Moonbeam, Astar, Parallel, Clover) you’re eligible to receive extra 2000 Raindrops at the campaign launch.
- Go to the Bifrost.app website to the Polkadot Harvest Unlock section.
2. Check if you’re eligible for airdrop and claim raindrops.
3. Go to the vStaking → vDOT page.
4. Enter the amount of DOT you’d like to put in the liquid staking (i.e mint vDOT).
5. Click on the “Stake” and “Confirm” buttons to proceed.
And you’re good!
Start farming to earn extra rewards.
- Go to the “Farm” page and find vDOT pool.
2. Click on the “Deposit” button in the vDOT pool. Enter the amount of vDOT and click “Deposit” again.
All good! Now, you’re farming rewards and staking DOT at the same time!
Summary
Liquid staking has emerged as one of the hottest trends in crypto pushing forward the development of decentralized finance. It enables users maintain liquidity while their assets are staked, introducing more flexibility on the market.
The Polkadot Harvest Unlock is attracting much attention, providing participants a unique opportunity to earn extra rewards and stake their DOT simultaneously. This event proves that Bifrost’s continued commitment to improving capital efficiency and expanding DeFi potentials in the Polkadot ecosystem and the wider crypto market.
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Our main activity is content production, offline and online event organization, community management and creation, product marketing, development of ambassador programs.
We also run validator nodes for Polkadot and Cosmos blockchains and participate in the Polkadot ecosystem projects as investors, advisors and contributors.
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