SLT Wallet Update: Staking and USDC/XLM pair added
Kyiv Ukraine, September 7, 2021: Smartlands releases a planned wallet update with a staking module and USDC/XLM trading pair.
We are excited to notify our audience: another upgrade of the SLT Wallet has been made. With today’s release, we added the staking feature. The technical side is tested and ready to be used, and as it was announced previously, the staking will start later this year.
Another practical functionality we have been working on is the extension of the currencies supported. From now, the updated wallet has got an additional trading pair (USDC/XLM), and later this week, we will add SLT/USDC as well.
We usually receive numerous questions about the staking and how it works, and with this update, we anticipate another wave of interest in this feature. Please see below some FAQs gathered by the team covering some fundamental questions.
What is staking?
SLT staking is the process of locking up an amount of SLT in a personal SLT Wallet for a specified period to get a premium or, in other words, to participate in the fee pool distribution. Smartlands is sharing one-third of the fee pool, collected by oracles in Smartlands Network, with SLT holders.
How can I stake SLT?
To stake SLT, you need to fund your SLT Wallet with SLT by purchasing tokens through the wallet or transferring them to your wallet. To get a staking premium, you need to hold at least 1,000 EUR worth of SLT in your SLT Wallet for a period of one month. The system will check the equivalent of the SLT amount at Stellar exchange at a € EUR exchange rate fixed at the beginning of the current month.
When is premium distribution processed?
At the end of each month, the system checks the list of active staking participants and distributes the reward. Remuneration is distributed among all participants of the staking pool.
On the 1st day of each month, the system distributes remuneration among the participants of the staking pool in proportion to their share in the pool and transfers remuneration to the staking account.
If a staking account was active not for an entire month but some part of it, the system would accrue a reward according to the number of days of participation in staking.
The amount of SLT you receive depends on how many tokens you hold.
As for the actual dates, our article with the roadmap gives an explanation of the further milestones and premium distribution plans.
When can I redeem my staked SLT?
You can redeem your SLT after a monthly reward is distributed on the 1st day of a given month. If you need your SLT before that, you can still redeem it, but you will lose your right to get a reward.
How is the percentage of remuneration calculated?
Here are the premium conditions and calculation formulas.
There are 3 users in the staking pool on the last day of the month. There are 30 days in the month.
The first user transferred 500 tokens and participated for 10 days. The second user transferred 200 tokens and participated for 30 days. The third user assigned 100 tokens, added another 200 tokens 10 days later and participated until the end of the month.
The total amount of all tokens they have invested is 1,000.
The total reward pool for distribution at the end of the month is 500 tokens.
First, we calculate the weighted average of each user’s participation. For each user, it will be as follows:
User 1: 500 (Tokens transferred by user)*(10/30)(Days)=166.6666
User 2: 200 (Tokens transferred by user)*(30/30)(Days)=200
User 3: 100 (Tokens transferred by user)*(1/3)(Days)+(100(Tokens transferred by user)*(2/3)(Days)+200(Tokens transferred by user)*(2/3)(Days))=233.3333
Next, we need to know the share of each of the participants in the total value.
User 1: 166,6666/(166,6666+200+233,3333)=0,2778
User 2: 200/(166,6666+200+233,3333)=0,3333
User 3: 233,33/(166,6666+200+233,3333)=0,3889
Accordingly, the share of each of the participants in the distribution of remuneration will be:
User 1: 27,78%
User 2: 33,33%
User 3: 38,89%
The formula to calculate benefit by the end of the month is:
User 1: 500(Total fee pool)*27,78%(User’s percent)=138,9
User 2: 500(Total fee pool)*33,33%(User’s percent)=166,65
User 3: 500(Total fee pool)*38,89%(User’s percent)=194,45
On the first day of the next month, users will receive the following premium:
User 1: 138,9 tokens
User 2: 166,65 tokens
User 3: 194,45 tokens
SLT Wallet is not only a Smartlands Platform-specific tool but a multifunctional toolbox for any trader on the Stellar blockchain. It’s designed to accommodate the most demanding trader experience conveniently and intuitively, with the most relevant information always at hand. Moreover, SLT Wallet will assist users in selecting between all investment opportunities provided by Smartlands Platform.
The official address of the SLT Wallet is https://wallet.smartlands.app/.
Smartlands is a digital investments platform with a proven use case for tokenizing shares in real assets. Having its mission of tokenizing the real economy and bringing all its benefits to a broad audience, Smartlands launched an alternative investments project in Ukraine. The SLT is a cryptocurrency of the Smartlands ecosystem. It is limited to a maximum of 7.1mn tokens and runs on the Stellar open-source network.