Liquidity mining program goes Live

Published On: Aug 14, 2024•
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As with most DEX’s, swaps on Stabull incur a swap fee which is retained in the pool reserves and contributes to the APR of liquidity providers. The more swaps, the higher the APR. The higher the APR, the greater the incentive for LP’s to deposit and grow TVL. More liquidity in each Stabull pool will result in lower slippage, more volume and higher APR. This is the natural flywheel that will contribute to Stabulls growth and success.

In order to bootstrap liquidity early on and distribute protocol ownership to those contributing the most, APR will be subsidized by a 10 year liquidity mining program, representing 30% of the total supply of the protocols governance token, $STABUL.

Stabull’s Liquidity Mining Program is designed to reward liquidity providers for contributing to the protocol, fostering long-term sustainability and aligning the interests of all key stakeholders. Users who provide liquidity and stake their LP tokens, will be rewarded with $STABUL tokens, which can be used for voting on governance proposals including which pool gets the largest share of rewards.

Pre-TGE Liquidity Mining

The liquidity mining program will begin on the 2nd of August 2024, at which point liquidity providers can begin staking their LP tokens. Since the $STABUL token cannot be freely circulating until the TGE date, participants in the program (those with staked LP tokens) will not be able to claim their accrued rewards until after TGE.

In order to receive $STABUL token rewards, you will need to deposit your stablecoins in the appropriate pool and then stake your LP tokens in the corresponding vault. You can stake in multiple vaults across both blockchains.

Stake LP Tokens

5,000 $STABUL tokens will be available as rewards for the first week of the pre-TGE period. These rewards will be evenly distributed between the available Stabull vaults across both chains. Your share of the per block reward in each vault is proportional to your contribution to staked tokens in the vault.

Remember, APR is dependent on the total amount of staked LP tokens in each vault, so will change as more users join. We will provide updates each week on the approximate APR for each vault and as well as the available rewards for the following week.

Distribution of rewards & post-TGE

Determination of rewards per participant during the pre-TGE period will be based on a snapshot taken prior to TGE, and distributed as an airdrop a month after TGE. EVM addresses and accrued rewards across all vaults will be published to inform all early participants of their earned rewards. Following TGE, the Liquidity Mining Program will continue to operate as intended, where stakers can claim rewards as they become available. There will be no need for existing stakers to re-stake or move their tokens.

pre-TGEpost-TGE
DistributionParticipants will receive their accrued rewards as an airdrop.Participants will claim their rewards in the app interface or directly from the vault contract
Reward frequencyAccrued rewards are distributed in one transaction, 1 month after TGE.Additional rewards are available to be claimed after every block, although stakers will likely wait till it is gas efficient to claim.
Reward UpdateThe available rewards will be updated each week.The available rewards will be updated each month, based on the emission schedule.

For more information on the Liquidity Mining Program see Liquidity Mining | Stabull Gitbook, and if there are any questions please reach out in Discord.

Happy liquidity mining folks!

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