If you didn’t already hear, PIKA Staking is on Dreva’s horizon.
Arriving as the Pikaverse’s inaugural decentralized application (dApp), PIKA Staking will centre around token utility. Better yet, with HODLING REWARDS on offer, also expect sell pressure to ease as token demand increases.
…Staking equals utility, and utility equals demand…
In this article, we will provide the #PikaArmy with all the necessary PIKA Staking alpha…so sit back, get your your ETH wallets at the ready, and begin strategising your new HODL-to-Earn journey in the Pikaverse.
How PIKA Staking Works — HODL-to-Earn in the Pikaverse
In following conventional crypto staking mechanisms, PIKA Staking involves users locking-up their tokens in order to receive a certain annual percentage yield (APY) as a return on their staked assets.
Here, users will have complete control over how long they wish to lock-up their tokens, with periods ranging from 1–12 months. Of course, larger amounts and longer staking periods will yield higher returns, and there will also be more rewards for those who begin staking first.
Prospective PIKA stakers will have two places they can commit their assets to (i.e. stake on):
The Direct PIKA Liquidity Pool: Users simply hold PIKA in their wallets, and stake their tokens in the Direct PIKA Liquidity Pool for a promised return.
The PIKA/USDT Liquidity Pool: Users provide PIKA/USDT liquidity on Uniswap and receive liquidity pool (LP) tokens in return. These users will then be able to visit the PIKA Hub in order to stake their LP tokens for comparatively higher rewards compared to those of the Direct PIKA Liquidity Pool. Higher rewards are on offer here because these stakers are helping strengthen PIKA’s trading ecosystem on the world’s largest decentralised crypto exchange (DEX).
During the initial launch of PIKA Staking , rewards will only be distributed in PIKA tokens, however additional gamified and creative rewards will arrive later on.
Even better — and as announced by Kanto in the recent Pikamoon Podcast Episode 3 — staking reward tokens will also be embedded with perks that grant exclusive access to special in-game items on the Pikamoon Marketplace.
The real value of APYs will become available when PIKA Staking goes live, as well as access to user staking records. This way you can keep a track of your investments and ROIs.
Early Unstaking, Fees, & Penalties
Of course, certain conditions must be met in order for staking rewards to be claimed, which is why it’s important that we clarify them.
When claiming/withdrawing PIKA Staking rewards, users can do so without incurring a fee, and they can also seamlessly unstake or restake their tokens whilst setting new staking parameters.
Users are also provided with an option to ‘unstake early’ — however if they do so, they must pay a penalty for not completing the pledged duration. This penalty amount will then be redistributed back to the rewards pool.
Utility is Arriving in the Pikaverse
As you may already know, PIKA Staking comes as part of the PIKA Hub launch, which will see the roll-out of other gamified and technical features in the Pikaverse— be it in-game leaderboards, NFT claiming, bug bounties, and much (much) more.
You can learn more about PIKA Staking — as well as the exciting launch of the PIKA Hub in general - via the Pikamoon Podcast Episode 3.
