Staking

We have created a vault system that will allow users to deposit $KTN and receive your proof of deposit in the form of $sKTN token in return. The $sKTNs are minted on each deposit and burned on each withdrawal.

1/ Yield Aggregator As explained above, the real yield generated by the treasury and the Uni V3 fees will be redistributed to $sKTN holders via the vault directly in $ETH. From the first bond launch our treasury will collect funds and start generating revenue to be redistributed to the community.

2/ $esKTN Similar to what a protocol like $GMX can offer, we want to combine real yield with a complementary revenue source via the distribution of $esKTN to stakers. The $esKTN will be claimable directly through the vault. The tokens are non-transferable and vest linearly over 60 days. To convert the $esKTN to $KTN at the end of the 2-month vesting period, you will need at least the same number of $sKTN as you have $esKTN to claim. A dedicated page will be available on our dApp to exchange your $esKTN into $KTN. The starting APR is set at 100% to encourage participants to stake and hold their tokens. This APR will be reduced over time in order to have a long term sustainable protocol.

3/ $sKTN The $sKTN is the token you will receive when you stake your $KTN at a 1:1 ratio. In order to prevent someone from enjoying the real yield by staking their $KTN a few hours before the weekly distribution of rewards to $sKTN holders, the $KTN will be locked for 72 hours in the staking pool. It will be impossible to enter and exit once the weekly rewards have been received. The goal is to reward the people staking their tokens believing in the development of Kostren Finance and to keep away the opportunists as much as possible, without making the staking illiquid and disabling. These 2 mechanisms combined make staking very attractive and encourage users to hold their tokens and compound their rewards.