1. Fixed inflation solution

Inflation: is a growing supply of the tokens usually set at an annual rate i.e. HEX inflation is 3.96% annually

Why fixed inflation rate is a problem?

If you fix the inflation rate that means the APY will be changing depending on the number of people staked. For example, if inflation rate is 4% and half of the holders staked their tokens - it will give everyone 4% / 0.5 = 8% APY roughly.

if 80% of holders staked their tokens - it will give everyone 10% / 0.8 = 5% APY

The more people staked - the less APY will be. For the investors it is important to be sure that there is some minimum APY set he will always be able to get.

Solution

Instead of fixing the inflation rate in DefiFactory Staking we are fixing minimal APY percentage in the range 10-50% regardless of amount of people staked at any moment. The inflation will be changing everyday depending on staked supply to make sure any new investor that stakes today will get guaranteed minimum APY.

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