WeSendit

Staking offers WSI token holders the chance to receive additional token - for free! But how does that work? You’ll find the answer in this article.The background: What is staking?As WSI token holder you can stake your tokens. This means that you lock a certain number of tokens into a smart contract for a fixed, predefined period of time. As a reward for this move, you receive a certain amount of WSI token for free.This reward, also called incentive, comes from the WeSendit Staking Pool.3% of your rewards will be diverted automatically with compounding. These 3% are a fee that will flow back into the Staking Pool.The staking functions depict the calculations of APR and APY. The goal is for the APY to maintain a high level for as long as possible.The maximum lock-up period is 52 weeks. You can choose the lock-up period of your choice. It has to be between 1 week and 52 weeks. When you choose a longer lock-up period, the APY grows exponentially.Initially, the Staking Pool contains 120,000,000 WSI tokens. As more tokens enter the smart contract, the APY will go down.Two functions calculate this system:How we calculate the APYAt the time of a completely full Staking Pool, it is defined that an APR of 110% will be reached. This corresponds to an APY of about 200%.When staking, you choose a lock-up period between 1 and 52 weeks. A longer period means an exponentially higher incentive, i.e. token reward.To make sure you reach the APY, tokens will be distributed automatically every 12 hours via auto-compounding. These tokens automatically raise the stake.The calculation:<img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/de0df5ec73684de6a703ca48f5daf8db.png" /><ul><li>x is the current number of tokens in the Staking Pool</li><li>pmax is the Staking Pool’s capacity, at which the highest possible factor should be returned</li><li>pmin is the Staking Pool’s capacity, at which the lowest possible factor should be returned</li><li>low is the desired smallest possible factor [0,1)</li></ul>f(x) with pmax&#61;120,000,000, pmin&#61;0, low&#61;15%.<img src="https://academy-public.coinmarketcap.com/optimized-uploads/e7e51416e6d14b67b0a9dc6b31010680.png" /><h2 id="header-0">Illustration</h2>The following graph shows the connection of the two curves at various pool sizes.Y &#61; APY in %X &#61; Lock-up period in weeksGraphs &#61;  the respective pool sizes<img src="https://academy-public.coinmarketcap.com/optimized-uploads/f97d0c2c45224743895eb93ad66df62c.png" /><h2 id="header-1">Anti-Whale Protection</h2>To prevent a so-called whale from bringing down the APY by controlling a large number of tokens, we define a maximum staking amount for every wallet.If the Pool rewards are larger than 80% of 120,000,000, you can stake no more than around 1,000,000 WSI.If the Pool rewards are below 80% of 120,000,000, you can stake about 1% of the total Pool rewards. For example, if the Pool size is 80,000,000 WSI, you may stake a maximum of 800,000 WSI.<h2 id="header-2">FAQ</h2>Can I have several staking contracts at the same time?Yes. A wallet can enter into several contracts. But you need to take into account the Anti-Whale Protection. It prevents wallets from sending unlimited amounts of tokens into the smart contract.I have locked my tokens for 20 weeks. Can I unlock them earlier?No. Once you lock your tokens into the smart contract for a fixed period of time, you cannot take them out before the end of the chosen period.Why do I receive the highest APR only at around 52 weeks?Longer lock-up periods make liquidity planning easier for WeSendit. That is why we reward longer lock-up periods with a higher APR.Can I stake my WSI tokens directly after the Public Sale?As soon as the WSI tokens appear in your wallet, you can visit the site <a href="https://app-staking.wesendit.io/" rel="noopener noreferrer nofollow">https://app-staking.wesendit.io</a> and stake your tokens.

WeSendit’s Staking Option Explained For You

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