# Early Adopter Bonus (EAB)

The **Early Adopter Bonus** rewards users in $8LENDS for funding a lending pool before its stage closing date. By compensating the time-value gap created by discounting (see [**Deposit Formula**](https://8lends.gitbook.io/eightlends/user-journey-on-8lends/calculation-of-deposit-amount)), EAB incentivises early participation and smooths out the economic impact of stage timing.

## Lifecycle & Usage

* **Accrual:** EAB is calculated and reserved immediately upon deposit.
* **Pre-Stage Close:** You can only spend EAB on subordination-priority upgrades (see [**Priority**](https://8lends.gitbook.io/eightlends/usd8lends-token-utility-models/priority-upgrade)), just like Proof of Loan (see [**Proof of Loan**](https://8lends.gitbook.io/eightlends/usd8lends-token-supply-models/proof-of-loan-pol)) rewards.
* **Post-Stage Success:** EAB unlocks fully—usable for any platform service, on-chain claiming, or external sale.
* **Failed Stage:** Any unspent EAB is irreversibly burned.
* **Gas Efficiency:** All EAB calculations and token allocations happen off-chain within our backend, mirroring on-chain logic to keep total $8LENDS supply consistent without incurring extra gas costs.

<details>

<summary>Bonus Formulas (Advanced Users)</summary>

<figure><picture><source srcset="https://1264138555-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FRXI3mwHy3PvVywOfKJUK%2Fuploads%2Ff3MYp9Ec1sNGEXbE0taN%2Feab_user_dark.png?alt=media&#x26;token=08adeffe-b03d-43cc-8ee3-2b9a55fafdd8" media="(prefers-color-scheme: dark)"><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXe3KMk_mgjYvcfyCQE0eVP63zBgMpg1SN9T2cFEBj4oSMYWVdv_POS2vTy6WyllLShwx_NIs4knqx7bACTuHJJKhXxvYK9m3j6MF-KQVC1EPLmVNVB4a1xWUxTSCa7_V69sr73bsg?key=uyWe8rY2jy2nS4gSFfqFJ_Vw" alt=""></picture><figcaption></figcaption></figure>

<figure><picture><source srcset="https://1264138555-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FRXI3mwHy3PvVywOfKJUK%2Fuploads%2Fyt8ugI5qC2iJVG0zOZKw%2Feab_affiliate_dark.png?alt=media&#x26;token=7f2e6fa2-9b82-411e-baf6-6bb8ca55b3c4" media="(prefers-color-scheme: dark)"><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXe_Ih1HM8AOiVLDBVNdwtZBwCw32QiYS4_fL4MyMqLESOC-q7Twn1VqBZY8dspjnRKIbkUfLLC7JogbnGf8K3b-gTYnb42BzJiuALWKSqLspE1uLZjqs9JCRztO6P9bWlBxof5hpA?key=uyWe8rY2jy2nS4gSFfqFJ_Vw" alt=""></picture><figcaption></figcaption></figure>

<figure><picture><source srcset="https://1264138555-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FRXI3mwHy3PvVywOfKJUK%2Fuploads%2FSE78YbUGsgVsmUk0pTYD%2Fd_formula_dark.png?alt=media&#x26;token=1f24793b-a406-4a12-99d9-4521c0fb7bc1" media="(prefers-color-scheme: dark)"><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXcI6Wc_eb9AWJb2kFuid4gkQmfrVRNE85bILix_9NXENBiyI5wPnB8lUA2RddnEllzw3jkUNezde2wMeoRfIXSd0TCQCuDS-YPmyVLPM0ZqxltIt1j_GgdxAtUKMWSizOofP_c18A?key=uyWe8rY2jy2nS4gSFfqFJ_Vw" alt=""></picture><figcaption></figcaption></figure>

where:

* **S\_tranche:**&#x200B; the actual deposit amount required at tranche close.
* **S\_now:** the discounted fair value of that deposit at the time you fund.
* **D:** the timing gap your bonus compensates.
* **EAC:** Early Adopter Coefficient, set by 8lends, as a percentage of D.
* **P\_mint:** current mint price of one $8LENDS token (from the P\_mint bonding curve).
* **C:** share of the bonus awarded to the user; (1−C) goes to an affiliate or back to the platform.

</details>

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