FAQs

Q1: What is staking in this context?

A1: Staking is a system where you deposit a certain amount of tokens and in return, earn rewards over time.

Q2: What are the three main actions within the staking system?

A2: The three main actions in the staking system are depositing, withdrawing, and compounding.

Q3: What happens when I deposit my tokens into the staking system?

A3: Once you deposit your tokens, they are locked for 30 days, making you eligible for incremental rewards. These rewards are determined each block and are based on your total deposit and the total deposit by all stakers.

Q4: What does the 'Compound' action do?

A4: The 'Compound' action allows you to add your pending rewards to your deposited amount, thereby increasing your overall stake.

Q5: What happens when the 30-day lock period on my tokens ends?

A5: When the 30-day lock period ends, you can choose to withdraw your tokens. However, you will continue to earn rewards like normal.

Q6: What is the 'Emergency Withdraw' feature?

A6: The 'Emergency Withdraw' feature allows you to withdraw your deposited amount immediately, excluding the pending rewards, and resets the timer to zero. However, this action incurs a 5% fee.

Q7: How are the rewards distributed in the staking system?

A7: The reward ratio per block is fixed and distributed amongst all stakers. The fewer the stakers, the larger the reward per staker, and vice versa.

Q8: How does the staking system affect the Annual Percentage Yield (APY)?

A8: The staking system self-regulates the APY, which is influenced by your total deposit, the frequency of compounding, the number of stakers, and the fixed reward ratio. Large influxes of stakes, often from a "whale," may cause a temporary slowdown in pending rewards.

Q9: Where does Emergency Withdrawal applies?

A9: It applies only in SHIBAI staking and SHIBAI/WETH LP staking. You can't use emergency withdrawal on NFT staking.