For geeks that care.
In V1, we have chosen Price and TVL as the demand metrics. The chosen target levels are $0.18, and soon 500M, for Price and TVL respectively. The TVL metric will only be added in Q4 after launching, due to oracle-feed requirements.
And to make sure demand factor does not go out of control, we have introduced some limitations for demand factor.
During the staking program duration
we can distribute total
amount of DAFI. This means each second, the maximum amount of DAFI we can distribute is:
However, we need to convert users' reward at the end using reward multiplication. This means at the most extreme case, reward will be multiplied by
and divided by
. We call this action
, and it has some characteristics:
To make sure the total distributed DAFI will never become greater than Max DAFI, the maximum distribution per second needs to acknowledge the multiplier.
Actual distribution is the maximum distribution multiplied by demand factor.
Every time users claim their rewards, 25% of their rewards will be deducted and distributed to other stakers.
Users' rewards are the accumulated amounts of reward every time demand factor changes. The actual implementation is similar to other staking programs like Sushi's