Staking Rewards: Venture Yield Contract
PulseFinity provides four flows of income into the venture yield pool which is then distributed between stakers, the yield amounts depend on the users staking tier.
Last updated
PulseFinity provides four flows of income into the venture yield pool which is then distributed between stakers, the yield amounts depend on the users staking tier.
Last updated
PulseFinity staking offers guaranteed IDO allocations in top-tier projects, with revenue-based royalties in PLF, PLS, HEX and PLSX. Unlike common models that reward stakers using tokens printed out of thin air or using “degen” investment practices that often lead to losses, PulseFinity’s staking model gives stakers control of their tokens with no inflationary or high-risk practices. All our staking rewards derive from natural functions of our ecosystem.
All winners of any PulseFinity IDO pay a 20% winner fee on their tokens, the Venture Yield Tokens (VY). These tokens are then being liquidated into stable coins and used to purchase PLF, PLS, HEX or PLSX from the open market. Each time IDO tokens unlock, 80% are distributed and 20% are slowly being liquidated ensuring future Venture Yield purchases for extensive periods of time. This is due to the long vesting schedules for many IDO Projects. Example:
Project Pulse launched on PulseFinity and provides winners with 25% unlocked tokens. A total of $200 000 were collected. On TGE $40,000 USD worth of tokens at IDO price are distributed to winners and $10,000 USD are being collected in the VY fund. Over a period of 3 months these $10,000 USD are being liquidated. The projects valuation increases by 9x over that period and turning it into $90,000 USD in Venture Yield Purchases. After 3 months the next 25% are unlocked at a 10x in valuation and therefore providing $100,000 USD worth of Venture Yield token purchases. This process repeats for all future unlocks and all IDOs on PulseFinity.
Users are able to unstake earlier (than their lock time expires) for a fee. The fee is equal to the reward amount that they would get in the first 50% of days they committed to stake. Eg. if a user commits to stake for 200 days and unstakes after 50 days, he will not have enough reward to cover the fee, therefore the fee will be paid with some amount of his stake. If he unstakes after 101 days, he gets back all the stake amount + reward for 1 day. The minimum fee days is set to 30 days. Meaning if somebody commits to stake for 50 days and unstakes after 26 days, he will still pay fees for 30 days (instead of 25), resulting in losing some percentage of his stake.
Exact equations If starting day + fee days > unstaking day, the staker doesn’t get any reward and loses some percentage of his stake. The early fee is averaged as following:
raw early fee = sum of the unstakers rewards of days from starting day to unstaking day unstake early fee = raw early fee × fee days / (unstaking day — starting day)
Example:
A user commits to stake for 200 days and unstakes after 50 days. In those 50 days they earned $2000 in staking rewards, this is the raw early fee.
Therefore the unstake early fee= 2000x150 / 49= $6122 *If starting day + fee days > unstaking day, the staker doesn’t get any reward and loses some percentage of his stake.
We recently introduced the IDO Yield requirements, stating that all winners are required to hold their staked PLF needed to maintain their Tranche. Users that sell or move their PLF Tokens have 72 hours to restore the stake position. Failing to do so will cause users to lose their future locked tokens from past won IDOs. Once Venture Yield contracts are initiated users are given 72 hours to restake their position in order to retain their vested IDO tokens. IDO Future unlocks of users that do not maintain their positions will be added the Venture Yield Pool. This also means that once PLF stakers win an allocation they are engaged into a virtual lock. Removing tokens out of the staking contracts for more than 72 hours will lead to loss of all vested tokens from past won IDOs. Therefore the incentive to remain a long term strong holder increases with every won IDO.
