“Can I stake PPAY? Where? How?”
Our community kept asking us about PPAY staking and have been patiently waiting for it while we worked out the details. We’re pleased to finally tell you now that PPAY Staking is so very close to being available!
One of the earliest instruments that allowed people to earn passive income from DeFi, “staking” simply means locking your crypto assets as savings in a platform and earning yield from them.
What can you expect from Plasma.Finance’s new staking opportunities for its native DeFi token, PPAY?
PPAY users already know that you can stake at existing PPAY pools on Sushiswap and Uniswap, but direct PPAY staking on our native platform is even easier.
We are excited to present you the new xPPAY token! (the rewards will be distributed in this new token)
What is xPPAY?
- xPPAY is a PPAY derivative asset, and is the token that represents your PPAY share in the staking pool and includes yet-to-be-paid future profit.
- You can trade xPPAY in the PPAY/xPPAY pool on PlasmaSwap (link) or add liquidity to this pool and generate additional revenue.
- If PPAY is your token for trading and speculation, then xPPAY can be considered as your stock share of the Plasma.Finance platform, entitling you to all future platform earnings, similar to dividends from stocks in CeFi.
PPAY Staking via Savings
Now let’s get to the juicy details.
Plasma.Finance users are now able to stake PPAY tokens directly from the dashboard by accessing the Savings option. It only takes 2 steps to earn from Staking!
Once your web3.0 wallet is connected, all you need to do is:
- Deposit your PPAY tokens to Stake them as Saving (just as you would on a regular bank savings account!). You will receive an Annual Percentage Yield (APY) returned to you automatically as xPPAY in a 1:1 ratio for every PPAY you stake.
- Redeem your xPPAY for PPAY to Unstake your Deposit.
How much can I earn from Staking?
Staking rewards will depend on a number of factors:
- Your share of the staking pool. Naturally, the larger your share in staking, the bigger your slice of the rewards distributed, in equal proportions. If you own 10% of the staked amount, then you’ll be entitled 10% of the staking rewards distributed.
- The trading volume on PlasmaSwap. 0.02% of all PlasmaSwap trading volume will be converted into PPAY tokens and distributed to stakers in proportion to their share of total staked PPAY. This percentage rate will be managed by PPAY governance. So it pays to promote all the pools and trading pairs on PlasmaSwap!
- Utility on Plasma.Finance. Rewards will be calculated and accrued automatically via the staking smart contract, including any returns from the Plasma.Finance infrastructure. As our DeFi platform becomes more popular, so will the utility of PPAY and demand for it! Support us and tell your friends and traders to swap on PlasmaSwap! They’ll love you for it!
Want Fairer, more secure Staking?
- PPAY can be staked for a minimum period of 24 hours, after which you are free to withdraw your stake at any time. Any rewards you earn will be included in your withdrawal.
- xPPAY price will be always higher than the price of PPAY on the market because it includes the future profit.
- Enjoy worry-free passive income backed by blockchain security! PPAY Savings smart contracts have been audited by security audit company Certik.
Why Stake in DeFi?
DeFi innovations are accelerating at a pace that appears to be impossible to stop, with new instruments being developed and experimented by thousands of users everywhere today atop a wave of democratized money that’s taking the world by storm.
Each new product or service being put out there is just part of the neverending quest to find the most efficient way to conduct finance, or to maximize the yield potential for hundreds of digital assets.
Investment in DeFi has spiked to almost $40 bn USD in assets locked (according to Defipulse). These assets are in the form of digital tokens called cryptoassets and have many of the same properties as those found in more familiar financial markets.
The state of traditional financial markets globally is a strangely insecure one against the backdrop of a global depression, compounded by the ongoing Covid-19 crisis. In developed nations, interest rates on savings accounts are meagre, to the point of negative (yes, you actually lose money if you save it now in most of the European Union!), while bond markets are regularly turning up negative.
Where interest rates are still positive, especially in developing economies, monetary devaluation and hyperinflation instead mean that savings accounts are losing monetary value, eating at consumer spending power.
Saving your money in DeFi through staking results in the same passive earnings that you would expect from an interest-bearing bank savings account in an ideal world.
The key difference?
In DeFi, you do not rely on banks to act as trusted third parties. Instead, in DeFi staking, you trust the transparent, immutable code and algorithm that objectively govern blockchain and smart contracts executing all your financial transactions.
A fairer, better-managed, more efficient, manipulation-resistant system that distributes yield accurately and sustainably.
Plasma.Finance is at the forefront of DeFi innovation, with a mission to take down the high entry barriers of DeFi and realize the goal of truly democratizing finance for everyone.
With both the retail consumer and professional institutions in mind, Plasma.Finance has developed financial solutions that defy the DeFi stereotypes while picking the best of centralized finance, resulting in a DeFi platform that is easy to use, safe and complete, with advanced analytics and tools not typically available on most other platforms in its class.
Our native PPAY token represents efficient utility across unique features never before seen in the PlasmaSwap DEX. Check this out: