New staking system
We continue to honor the promise of explaining, step by step, each of the news that we have presented in our long-awaited Roadmap 2023. On this occasion, it is time to present the details of one of our most innovative proposals: the new staking plan.
First, in order to limit the potential inflationary effect resulting from offering too high APYs, the following values have been established for this new staking system:
3 months → APY 6%
6 months → APY 9%
12 months → APY 15%
We know that the values are lower than those offered during the past year. In addition to the desire to contain the inflationary effect as much as possible, the reason behind this is the change in the model whereby staking users will begin to receive all collectibles and governance exclusively and free of charge, together with the advantages of the new staking system that will be detailed below.
As we have anticipated in our previous article, over the coming weeks, our users will have the chance to mint the Shirtum W3.0 Pass. This NFT, minted in the Polygon Network (soon we will also explain how the bridge to that network works), will allow the possibility of containing tokens, that is, of staking within the NFT itself. This innovative modality offers a series of benefits that the old staking pools did not allow, such as, for example, the possibility for the user to sell all his tokens, without withdrawing them from staking, simply by transferring the NFT with the tokens within. This new style of OTC between holders will be accompanied by a contribution to the redesigned deflationary policy that we will be introducing over the next few weeks. For each Shirtum W3.0 Pass transaction between users, 1% of the tokens of the transferred Pass will be burned automatically.
Another of the great advantages of this new system is the possibility of withdrawing staked tokens before the end of the chosen blocking period. In this case, the user will lose the token rewards received for staking and one of the following “penalties”, based on the total amount of tokens deposited by the user, depending on the time of withdrawal:
- 20% burning of the deposited amount when 25% or less of the blocking period has passed,
- 15% when only between 25 and 50% of the established term has passed,
- 10% when the withdrawal is carried out between 50 and 75% of the blocking period,
- 5% with 75 and 99.9% of the deadline fulfilled.
These “penalties” will be automatically burned by the Smart Contract, thus contributing, once again, to the deflationary efforts of the $SHI token.
Regardless of the characteristics of the new staking system and its financial and operational benefits, all users who have $SHI in staking will enter a Ranking that can be consulted in real-time on MySHI and that will allow, depending on the position held, different levels of access to collectibles, rewards, and governance within the Shirtum W3.0 Club.
How will this ranking work? Very easy. We have divided it into five Tiers, with Tier 1 being the one with the greatest access to said benefits and Tier 5 the least. Tiers will be divided as follows, based on the number of tokens staked:
• Tier 1: Top 10%
• Tier 2: 10%-25%
• Tier 3: 25%-50%
• Tier 4: 50%-90%
• Tier 5: The last 10%
In our next article, we will be explaining more precisely how Collectibles 3.0 will be distributed according to the position in the ranking of each holder and, of course, the Tier to which they belong. Governance integrated with MySHI, and its consequent explanation will arrive in April.
Originally, the idea of the team was that, once the old staking pools end (at the moment we only have the Ethereum pool active), staking could only be done with this new system. However, for the Shirtum team, the community is very important and after some suggestions from our users and, of course, the evaluation by the team, we have decided, not only to keep the Ethereum network contract previously mentioned in parallel but also to open a new staking on BSC for those who wish to keep their tokens staked on that network. The APYs and lock-in periods will be the same in all three networks, but the aforementioned advantages will only exist in the new staking system of the Polygon network.
The first step towards the coexistence of the new staking system in Polygon together with the contracts in the Ethereum and BSC networks will be to change the APYs of the Ethereum contract for the new values next Monday, March 13 at 12:00 pm UTC. The next step, during the first weeks of April, will be the launch of the Shirtum W3.0 Pass with its consequent advantages on the Polygon network and, finally, the deployment of the staking contract on the BSC network in the middle of April.
MySHI 3.0 will consider the amount of $SHI that each user has in staking in each of the aforementioned networks (if that were the case) for the formation and updating of the ranking, as long as the user uses the same wallet in the three networks. Tokens locked in the SWC22 Rewards contract will also be considered, for example, while they are still there. It will be essential, in order to enjoy the collectibles and the governance, to mint the Shirtum W3.0 Pass as soon as it is available. This will be free, for now, for all $SHI holders.
As you can see, the team is very involved and working permanently to take care of our loyal community and to leverage the potential that this project has. We continue to strive to achieve the goals that we set ourselves years ago and that we all want to fulfill as soon as possible. We hope you will continue to join us.
And don’t forget, staking $SHI has become the only way to get the benefits of Shirtum. The higher you are in the ranking, the better benefits you will get. Don’t miss the opportunity. Many more news are coming.
The Shirtum team