LP token staking

Please have a look here for detailed information: Technical whitepaper

The LP token staking system is a dynamic, multi-reward system designed to incentivize users to provide liquidity and earn additional rewards. Here’s how it works:

Basic Liquidity mining

  • Users who provide liquidity to liquidity pools receive LP tokens as a receipt that represent their share of the pool.

  • These LP tokens can be staked at stabble to earn STB rewards.

Dynamic emission rates

  • The STB rewards are distributed across all liquidity pools based on the total amount of LP tokens staked and the weight assigned to each pool.

  • The reward for each staker is calculated as:

  • There are no fixed emissions per liquidity pool. Instead, the STB rewards are distributed dynamically based on the total weights of all pools.

Governance-managed emission weights

  • The weights assigned to each liquidity pool are managed dynamically by the stabble team. The weights determine the share of STB rewards a pool receives.

  • In the future, these weights will be managed through a governance system, allowing the community to influence the reward distribution.

Multi-reward capability

  • The system allows for offering additional rewards on top of the STB rewards.

  • Further, stakers can potentially earn double rewards if other reward tokens are configured for a specific liquidity pool.

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