Staking

The 8lends project ecosystem employs various staking methods, with the primary one being the "Lending Pool." This special protocol is essential for investing in projects and operates as follows:

Lending Pool Mechanics

  1. Credit Check: The company undergoes a credit check and full due diligence.

  2. Loan Application: The company applies for a loan.

  3. Protocol Opening: The "Lending Pool NAME" protocol is opened for this loan.

  4. Investor Participation: Investors transfer their USDC into the protocol.

  5. 8LENDS Allocation: 8lends tokens are transferred from the Treasury to the protocol.

  6. LP Tokens: Investors receive LP tokens.

  7. Collateralized NFT (Optional): A project-specific NFT can be added to the protocol.

  8. USDT Disbursement: USDC is withdrawn from the protocol and transferred to the company's wallet.

  9. Repayment: At the end of the loan period, the company transfers USDC with interest back to the Lending Pool NAME.

  10. Investor Returns: Investors return LP tokens and can choose to collect their return in USDC or 8LENDS, with interest.

  11. Protocol Closure: The NFT is deleted, and the protocol is closed.

LP Token Utility: The LP token starts at a value equal to the invested amount and future income, making it usable in other 8lends ecosystem tools.

Staking $8lends Mechanics

The "Staking 8lends" protocol rewards communities for their trust in the 8lends ecosystem. It operates as follows:

  1. Protocol Opening: 8lends opens the protocol for a limited period, allowing users to replenish it with 8LENDS tokens.

  2. $8lends Transfer: Platform users transfer 8LENDS tokens and receive an LP token.

  3. Fund Blocking: The protocol blocks funds for the specified period, preventing further replenishment.

  4. Accrued 8LENDS: 8LENDS tokens from taxes and commissions are credited to the protocol throughout its term.

  5. End of Term: Users return LP tokens and receive their 8LENDS plus a share of the accrued bonus tokens.

  6. Protocol Closure: The protocol is closed.

Income Calculation: User income from the “Staking 8LENDS” protocol is a share of their 8LENDS from the total pool. The formula is:

St=Tax×(PT)\text{St} = \text{Tax} \times \left( \frac{P}{T} \right)St=Tax×(TP​)

Where:

  • St: Income from Staking 8LENDS

  • Tax: Sum of accrued tokens from taxes and commissions

  • P: User's share of tokens

  • T: Total pool of tokens in the protocol

Example Calculation:

  • Term: 12 months

  • User Investment: 1,000 8LENDS

  • Total Protocol Tokens: 70,000 8LENDS

  • Accrued Tokens: 200,000 8LENDS

User's Income: 2,857.14 8lends (285% per annum).

This structured approach ensures a fair and transparent process, providing multiple avenues for investment and rewards within the 8Lends ecosystem.

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