Rewards
SBX Rewards provide benefits for long term users of the protocol, these rewards come in the form of Escrowed SBX and Multiplier Points.
Both SBX holders who choose to stake on the platform and SBLP holders (i.e. liquidity providers) receive rewards. These rewards can be in the form of tokens - Escrowed SBX (esSBX) and Zeta - and Multiplier Points (MP). The full reward structure is available at the end of this chapter, but here is brief summary:
Staked SBX earns ZETA, esSBX and MPs.
Staked esSBX earns ZETA, esSBX and MPs.
MPs: earns ZETA when staked
SBLP held in wallet earns ZETA and esSBX.
Compounding vs Claiming
There are two options for rewards on
"Compound" and "Claim".
Compounding will stake your pending Multiplier Points and Escrowed SBX rewards, this will increase the amount of rewards you receive.
Claiming will transfer any pending Escrowed SBX rewards and ZETAs rewards to your wallet.
If you compound or stake your Escrowed SBX tokens, you can unstake them for vesting at anytime later on.
Escrowed SBX
Escrowed SBX (esSBX) can be used in two ways:
Staked for rewards similar to regular SBX tokens
Vested to become actual SBX tokens over a period of one year
Each staked Escrowed SBX token will earn the same amount of Escrowed SBX and ZETA rewards as a regular SBX token.
Note that Escrowed SBX (esSBX) is not meant to be transferrable unless you are doing a full account transfer.
The amount of SBX or SBLP required to vest esSBX is unique per account and capped to the rewards received by that account.
Please do not buy esSBX off the market or OTC as you will not be able to vest them.
Vesting
Escrowed SBX (esSBX) tokens can be converted into SBX tokens through vesting.
When vesting is initiated, the average amount of SBX or SBLP tokens that was used to earn the esSBX rewards will be reserved.
For example, if you staked 1000 SBX and earned 100 esSBX tokens, then to vest 100 esSBX tokens, 1000 SBX tokens will be reserved. To vest 50 esSBX, 500 SBX tokens will be reserved.
Note that this is an example and the actual ratio depends on the average staked amount and rewards earned for your account.
esSBX tokens that have been unstaked and deposited for vesting will not earn rewards. Staked tokens that are reserved for vesting will continue to earn rewards.
After initiating vesting, the esSBX tokens will be converted into SBX every second and will fully vest over 365 days. esSBX tokens that have been converted into SBX are claimable at anytime.
If a user sells SBX or SBLP tokens and would like to vest their esSBX rewards later on, they would need to re-buy the SBX or SBLP tokens.
SBX, esSBX and Multiplier Points can be used interchangeably for the required reserve amount.
Depositing into the vesting vault while existing vesting is ongoing is supported.
Tokens that are reserved for vesting cannot be unstaked or sold.
Partial withdrawals are not supported, so withdrawing will withdraw and unreserve all tokens as well as pause vesting. All esSBX tokens that had been vested into SBX will remain as SBX tokens.
Multiplier Points
Multiplier Points reward long term holders without inflation.
When you stake SBX, you receive Multiplier Points every second at a fixed rate of 100% APR.
1000 SBX staked for one year would earn 1000 Multiplier Points.
Multiplier points can be staked for fee rewards, each multiplier point will boost ZETA APRs at the same rate as a regular SBX token.
When SBX or Escrowed SBX tokens are unstaked, the proportional amount of Multiplier Points are burnt.
For example, if 1000 SBX is staked and 500 Multiplier Points have been earned so far, then unstaking 300 SBX would burn 150 (300 / 1000 * 500) Multiplier Points. The burn will apply to the total amount of Multiplier Points which includes both staked and unstaked Multiplier Points.
Distribution Rate
Escrowed SBX will be distributed to staked SBX and SBLP according to the schedule.
Rewards are distributed every second to staked tokens.
Reward rates will be evaluated each month and may be subjected to changes. Any modifications will be announced at least 7 days in advance before being implemented.
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