Staking

Stake your ATS and earn a percentage of the revenue of our different products, you have the choice to receive them in EGLD (or ATS for a better yield).

How does it work?

For each of our products, we charge a fee. For example, for the yield optimizer, it is mainly performance fees, but there are also deposit and withdrawal fees, for the zap, it is swap fees, etc.

So in short, we make money and we distribute a portion of this money to the ATS stakers

We collect all the fees in lots of different tokens, but we exchange all these tokens into EGLD before sending them to the Staking Pool so you will receive EGLD rather than crumbs from 50 different tokens.

This will happen every week, we will collect all the fees for the current week, and at the end of the week we will exchange all the tokens to EGLD and send them to the staking pool. The rewards will be distributed over an entire week (not all at once) and so on.

Standard Staking

When you stake $ATS, you can claim $EGLD rewards at any time. Your rewards accumulate every second, and every week we add EGLD to the pool from the previous week's collected fees. Please refer to the section above to understand where the EGLD rewards come from and how it works.

There is a 7-day unbonding period when making an unstaking request. This means that you will have to wait 7 days before getting your ATS back, but you do have the option to unstake them instantly by paying a fee.

What is sATS?

sATS (Staked ATS) is a deposit receipt that represents your ATS staked. For each ATS you stake, one sATS is minted. Once you deposit into the standard staking, you will automatically receive the same amount of sATS as the ATS you staked.

You must own your sATS in order to unstake your ATS and claim your rewards. If you sell or trade them to another person, you will lose ownership of your staked ATS.

Autocompound Staking

You stake $ATS and get more $ATS.

The autocompound staking works much like any aVaults in our yield optimizer, there is a vault and a strategy attached to it.

The only difference with an aVault is that we have the entire unbonding system in addition (which does not exist in aVaults). Otherwise, the vault will send you an avToken that represents your share in the staking pool and transfer your funds to the strategy like any aVault.

The strategy is easy to understand as it is built on top of the standard staking. All deposited funds are automatically staked in the standard staking, resulting in the accumulation of $EGLD rewards (because the strategy holds sATS). When the reinvest function is triggered, the strategy sells the $EGLD in ATS and stake the newly purchased ATS into the standard staking (auto-compounding). This process increases the number of sATS held by the strategy.

Let's take an example:

Bob has deposited 100 ATS, and Alice has deposited 300 ATS in the auto-compound staking. The strategy holds 400 sATS, which is equivalent to the deposited ATS (1:1 ratio). To put it simply, Bob has a 25% share in the pool, and Alice has a 75% share. They receive their share in the form of avTokens.

As time passes, the strategy accumulates 10 EGLD, and someone triggers the reinvest function. The strategy then swaps 10 EGLD for 200 ATS which are then staked in the standard staking.

The result

Now, the strategy holds 600 sATS, with Bob and Alice having 25% and 75% of the shares, respectively. However, the value of their shares has increased since the initial deposit due to the accumulation of more underlying assets.

If Bob were to withdraw his share now, he would receive 150 ATS instead of the original 100 ATS that he deposited, he would have made a profit of +50 ATS.

Remember that you must own your avTokens and therefore your share in order to withdraw your funds.

What is unbonding?

Unbonding refers to a process where your tokens are temporarily restricted, they are locked and cannot be transferred, traded, or used for a certain period of time, as specified by the unbonding period. This implies that once you initiate the unbonding process, your tokens cannot be accessed or utilized for 7 days. Once the unbonding period is complete, you can retrieve your tokens and use them as desired.

Nevertheless, with the introduction of the "forcing unbonding" feature for instant liquidity, you can bypass the standard unbonding period and receive your tokens immediately. It is important to note that this option incurs a 10% penalty fee that will be burnt and lead to a reduction in the circulating supply of ATS tokens.

This system was introduced to avoid instant liquidity dumping due to a market or other event. Additionally, it helps to discourage individuals from participating in staking solely for short-term gains (e.g. because one week's earnings would have been high) which would result in diluting the long-term stakers.