Strategies boost algorithm
The boost algorithm is as follows:
After each liquidity addition, a user's fixed pool share is calculated as:
Where is the value of deposited tokens and is the value of all pools across all chains.
If the user already has a non-zero then the new share is added to the old one:
If the user withdraws amount of tokens out of his total amount of liquidity then the is updated accordingly:
At any moment of time a user's working balance is defined as:
At the end of a reporting period (one day), we have:
— the time-weighted value of the working balance of the user u;
— the time-weighted value of the deposit by the same user in strategy s;
— the annual percentage rate (APR) of strategy s
The user's total allocation over which the boost value calculated is:
1. User Boost Factor
10k in the pool and 100k in strategies → β = 0.1.
20k in the pool (or more) and 20k in strategies → β = 1 (full boost).
2. User–Strategy Position Weight
APR sets the priority between strategies.
A single β applies to all of a user's strategies.
3. Token Distribution
Let be the total amount of tokens to be distributed during the period. Total weight:
The reward that should be allocated to a user for a specific strategy:
If the allocated reward exceeds the reward corresponding to the baseline APR, it is capped at the baseline reward amount:
The algorithm starts with the users with the highest , in the case where their reward exceeds the baseline the leftover tokens are simply counted towards the remaining
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