How $MINE works:
Last updated
Last updated
In order to start earning a share of the protocol's Bitcoin mining profits, holders must purchase and stake $MINE. Monthly wBTC mining profits are distributed to $MINE staked investors on a monthly basis. These profits are paid out in wBTC and are instantly claimable for each staked investor straight from our Dapp, fee free. After claiming their wBTC dividend payment, investors can then decide to either buy more $MINE tokens and stake them (compound) or simply spend their wBTC profit as they please.
$MINE is crafted to attract high buy pressure and limit sell pressure. This is achieved by only paying staking dividends in wBTC, meaning the only time there is any sell pressure on $MINE is when an individual wants to stop receiving wBTC dividends, and exit the protocol. The token price is designed to climb due to buy pressure as more and more wBTC dividends are paid out (both through re-invested dividends/compounding, as well as new investors.)
The staking pool was designed to encourage volume both in, and out of the ecosystem, and it’s hedged both ways.
Scenario #1 Increased demand:
If demand were to skyrocket, and the percentage of staked holders were to scale dramatically, the rewards would have to decrease (obviously because there’s more holders to share them with.) But by design, there would be far less $MINE in circulation which would increase the price exponentially. At that point holders could sell their tokens and leave the ecosystem with their $MINE profits.
Scenario #2 Decreased demand:
If demand were to decrease and (for example) 50% of holders were to exit the staking pool and sell the $MINE token, the staking rewards would now DOUBLE because of the decreased pool size.
At the current rates, our APR on staked $MINE is roughly 5-15% per month paid in wBTC. This is variable based on several factors:
Current price of Bitcoin.
Overclocking per month (usually 25% overclocking is normal.)
Remember, this is in addition to your $MINE principal that is staked and liquid. Meaning, you can sell this principal (and your rewarded wBTC) at any time.
Holders earn wBTC rewards by staking, check out our in-depth tokenomics here for more staking information.
Through a small (2.5%) sell fee, the $MINE token model is deflationary. Through limiting sell pressure by paying reliable and attractive wBTC rewards, as well as, never paying staking rewards in $MINE, we have created one of the most advantageous token models for long speculators and our core community.
