The PIKAHUB is finally here.
Over the course of the coming weeks, more and more bespoke features will be rolled out on the platform…however perhaps the most important is already here… PIKA Staking!
Therefore, in this article update, we will walk you through the technicalities of PIKA Staking, so that you can begin locking your tokens up as soon as you finish reading.
VISIT THE PIKAHUB HERE
PIKA Staking
As mentioned in our previous PIKA Staking update, there are two primary staking pools involved in PIKA Staking:
- Direct Staking
- LP Token Staking
The Direct Staking Pool
To participate in the Direct Staking pool, stakers need to hold PIKA in their crypto wallets, as well as Ethereum (ETH) in order to pay gas fees.
To stake their tokens, PIKA holders simply need to deposit their desired amount of ‘to-be-staked’ tokens to the Direct Staking pool. After doing so, they will then own their own respective share of the pool, depending on how much they decide to deposit.
In offering complete flexibility when locking up tokens, stakers can also set their desired locking duration (ranging between 1–12 months), as well as view the current annual percentage yield (APY) of the pool. And to reward those that are committed to the long-term vision of the Pikaverse, longer locking durations will yield higher APYs.
The LP Token Staking Pool
For LP Token Staking, PIKA holders first need to provide liquidity to the Uniswap V2 PIKA-USDT pool — you can learn more about this process on the Uniswap website. After doing so, stakers will receive UNI-V2 LP tokens, which represent their share of PIKA-USDT liquidity on Uniswap.
Similar to Direct Staking, LP Token stakers will need to store UNI-V2 LP tokens in their crypto wallets, as well as ETH to pay gas fees. They would then need to simply deposit these UNI-V2 LP tokens into the LP Token Staking pool, in order to create their share of the stake inside the pool.
Once again, LP Token stakers can set their desired locking duration and amount, are able to view the current APY of the pool, and will receive higher APYs for longer lock durations.
NOTE: Both Staking pools have different reward pools and APYs.
VISIT THE PIKAHUB HERE
Unstaking & Claiming
Once stakers complete their set locking duration, they can simply unlock their stake amount without incurring any penalty or fee.
For claiming PIKA rewards, there is then a 30-day cool-off period between each staker’s claims. Intuitively, this means that the first PIKA Staking claims won’t take place until day 30.
Further, in order to unlock the entire amount of accumulated rewards, stakers are required to complete some simple tasks. Here, percentages of claims will be awarded based on task completion, while remaining claimable PIKA tokens/rewards will be referral based, so that everyone has complete control over maximizing their earnings.
Early Unstaking
If stakers decide to unstake their tokens before their lock duration ends, a penalty will be imposed on the stake amount (based on the completion status).
Below is the formula used throughout such process:
% Slash = Completed Duration / Lock Duration
Penalty = % Slash * Stake Amount
For example, if a staker initially locks 10,000 PIKA for 30 days, and then tries to early unstake on day 15, the penalty would be calculated as follows:
% Slash = 15/30 (= 0.5)
Penalty = 0.5 * 10,000 (= 5,000) — therefore, the penalty here would be 5,000 PIKA.
It’s also important to note that ‘% SLASH’ figures have a lower limit of 10% and an upper limit of 90%.
Moving forwards, the PIKAHUB will facilitate stakers accessing their Staking records. This way you can keep a track of your investments and ROIs.
Extraordinary Staking Rewards
As hinted at in previous updates, PIKA Staking will eventually entail two additional (and extraordinary) reward dynamics:
- Initially, rewards will only be distributed in PIKA tokens, however additional gamified and creative initiatives will arrive later on.
- Staking reward tokens will be embedded with perks that grant exclusive access to special in-game items on the Pikamoon Marketplace — find out more via Pikamoon Podcast Episode 3.
