Recently launched decentralized finance (DeFi) platform Linear Finance has released details of its mainnet staking reward program.
According to Linear Finance in an official blog post, the staking reward program is mainly directed at new users and early investors of the protocol. The DeFi platform’s users who stake LINA tokens, the native token of Linear Finance, will earn better rewards. They will also be able to launch synthetic Liquid projects on the Linear Finance DeFi protocol. This, in essence, will provide the DeFi platform with better security and footing in the decentralized finance space.
More Details of the Linear Finance Mainnet Launch
First, it is important to note that the initial mainnet staking program is slated to last for one year. Subsequently, it will be replaced by the proposed mainnet ETH Buildr dApp. However, nine months into the initial staking program, an analysis will be carried out. This analysis will be an overview of the prevailing conditions of the DeFi space and the state of the protocol at that time. All things being equal, a new staking program for the next year will be announced.
— Linear Finance (@LinearFinance) December 18, 2020
Interestingly, users who joined in the pre-staking program will be moved directly onto the mainnet. According to the official blog post, this is sure to help “maintain the flexibility to adjust the rewards program to best serve the future needs of the community.”
Linear Finance’s Reward Program
A total of 662,361,578 LINA tokens will be distributed as rewards over the 52-week period. The table below shows a proposed quarterly distribution of the tokens. Please note that a quarter is about 13 weeks.
Source: Linear Finance blog
Staking rewards will be distributed every week, with 8,500,000 LINA tokens allocated on the first week. The rewards will then be increased by 1.5% every week for the next 52 weeks.
To be eligible for the staking rewards, users only need to have amassed ℓUSD or any other Liquids before the reward period commences. A reward period starts every Wednesday at 8:00:01 (UTC + 8). Every user’s reward will be based on their average total Liquid percentage at the end of the rewards period. Interestingly, it is calculated using two random snapshots of a user’s Liquid value divided by the average total Liquid value of all users.
Notably, all earned rewards will be claimed on the Linear Finance Buildr dApp under the “Claim” tab. To claim rewards, users need to maintain a P-Ratio that is either at or over 500%.
Interestingly, Linear Finance also recently partnered with Moonbeam Network.
At the time of publication, LINA tokens were trading at $0.01286779, with a market cap of $8,179,461 and a 24-hour trading volume of $1,594,093.
Find out more about Linear Finance on the Altcoin Buzz YouTube channel.