How are staking rewards calculated?

Staking rewards on Houdini Swap are calculated based on your share in the staking pool, with the potential for additional incentives. The value of these rewards is dynamically linked to the transaction volume of Houdini Swap and the resulting fees earned from exchanges.

Proportional Share Basis

  • Distribution Principle: Rewards are distributed based on each participant's proportional share in the staking pool.

Smooth Distribution Mechanism

  • 'Dripping' Sequence: When buyback deposits occur, rewards are distributed to stakers over the next 7 days in a continuous, per-second ‘dripping’ sequence, ensuring a smooth allocation of rewards.

Dynamic Value of Buybacks

  • Fees Income Determined: The value of $LOCK buybacks is determined by the fees earned from exchanges, making it dynamic in nature.

  • Impact of Transaction Volume: An increase in Houdini Swap’s transaction volume leads to higher fees earned from exchanges which in turn enhances the value of buybacks, subsequently increasing the value of rewards to stakers.

Last updated