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Why Staking?

One of the best innovations to come out of DeFI today is early incentives. Because tokens are on completely programmatic and permissionless rails, how you use a protocols “equity” can be optimized to best serve the needs of a young protocol.

Where many protocols have failed, is today projects often incentivize in a one size fits all manner, which is inefficient by design:

  • Overpaying users who don’t care about speculative tokens.
  • Underpaying users who actually value early-stage protocol participation.

By segmenting the rewards from base yield - users have the choice to which source of upside they participate it, which drives efficiencies in enabling higher risk-adjusted returns based on users preferences.