Elastic Staking
A novel elastic supply DeFi protocol that provides in-built staking integrated in the smart contract
How EStake Algorithm Works
Price Based Elasticity
The calculation of the wallet balance is linked to the Ethereum basket
Target Price = Current Ethereum Price/N
APY = (current price – target price) * wallet balance / ( target price * lag factor).
For example, if a user has 1000 EStake, ETH price is 400 and value of N is also 400
At a current price of $1.50 and lag factor 50, the updated wallet balance would be adjusted by:
(1.50 – 1) * 1000 / (1 * 50) = 10
The new wallet balance would be: 1010 EStake.
Holding Based Elasticity
Holders will get additional rewards as per their days of holding
Suppose a Wallet user is holding EStake Tokens for a certain number of days.
The APY(Annuliased Percentage Yield) will be boosted as follows:
| Holding days | APY |
|---|---|
| Day 1 | 36% |
| Day 2 | 72% |
| Day 3 | 108% |
| Day N | 36*N% |
Net APY = AX + BY
A = Lag factor
X = Price Factor
B = Number of holding days
Y = Daily Reward
Why Choose Elastic Stake?
| Features | Conventional Staking | EStake |
|---|---|---|
| Ownership of tokens | ||
| Flexible APY | ||
| Flexible maturity period | ||
| Smart Contract inbuilt staking | ||
| Unstake anytime | ||
| Holder’s additional APY growth | ||
| Automatic restaking of rewards |