Comment on page
Monthly distribution, calculation formula, and APY calculation for future rewards, many more details broken down below.
Staking reward distribution happens on a monthly basis. Rewards are distributed at the end of each month.
It is a four-step cycle:
- 1.Stake ZEN, in Month 1, you stake ZEN and obtain sZEN. Reward accumulation starts from Month 2.
- 2.Reward distribution for Month 2 occurs at the end of the Month 2.
- Total staking reward available for distribution in Month 2 is based on Zenit Platform fee income that was collected and the daily distribution rate of the ZEN staking incentives for Month 2.
- User’s share of staking rewards for Month 2 is calculated based on their sZEN balance at the start of Month 2 relative to the total sZEN supply at the start of Month 2.
- 3.Rewards for Month 2 can be claimed by users from Month 3 onwards. Users can also stake their ZEN rewards and increase their sZEN balance and future rewards.
- 4.Step 2 and 3 repeat every month till expiry:
- Reward distribution for Month X occurs at the end of the Month X
- Rewards for Month X can be claimed by users from Month X+1 onwards.
The above formula is an assumption, actual ZEN rewards from Zenit Platform Fee would differ based on the token price in the open market.
Calculation of APY assumes that the monthly rewards are re-staked in the protocol.