Holder bonus

Holder bonus is accrued for continuous deposits into ABRA liquidity pool strategies

Every day at 16:00 UTC, this bonus is automatically credited in the form of additional ABRA tokens to everyone investing in ABRA liquidity pool strategies.

• The weekly holder bonus pool is 20% of the main rewards allocated to the liquidity pool based on voting results but cannot exceed 7% of the total weekly emission

• Rewards received as a holder bonus are not counted toward referral bonuses

The holder bonus is distributed proportionally to users' liquidity provided to the USDT/ABRA liquidity pool. When calculating the bonus, a multiplier is applied, depending on the duration of the continuous deposit. This multiplier depends on the accumulated holder days.

The holder bonus does not apply if liquidity is deposited via the Uniswap platform; only deposits made through Cadabra's website or smart contracts are eligible.

Holder Bonus Calculation Formula

userBHShare = userStrategyLiquidity * userBHMultiplicator
userHolderBonus = userBHShare * HBPool / SumOfUserBHShares

Where:

• userStrategyLiquidity: the liquidity deposited into the liquidity pool strategy

• userBHMultiplicator: the increasing multiplier, depending on the number of holder days

• HBPool: the reward pool for the holder bonus, allocated from the weekly emission.

• SumOfUserBHShares: the sum of shares of all users' investments (userBHShare for each user).

Rules for Calculating the Multiplier

The multiplier (userBHMultiplicator) depends on the number of holder days:

• Up to 7 days: no multiplier, equal to 1.

• 7 days or more: the bonus yield increases by 1.2 times (or 20%).

• 15+ days: increases by 1.5 times (or 50%).

• 30+ days: doubles (multiplier of 2).

• 60+ days: triples (multiplier of 3).

• 90+ days: increases by 4 times.

• 180+ days: increases by 6 times.

• 360+ days: increases by 10 times.

With an increase in holder days, the user's share of the Holder Bonus pool also increases, allowing users to earn up to 10 times more with the same amount of funds.

Rules for Accumulating Holder Days

1. Any withdrawal, even partial, resets the number of accumulated holder days to zero. This means that the holder bonus will continue to accrue, but at a lower rate, as the multiplier returns to 1.

2. When adding more funds, the number of accumulated days is recalculated proportionally based on the additional deposit using the formula: newBHDays=(userStrategyLiquidity*currentBHDays)/newUserStrategyLiquidity

In the first months after the platform launch, the number of holder days earned will be higher:

• In the first 30 days, all earned holder days are tripled

• In the second 30 days, all earned holder days are doubled

Examples

Suppose a user has invested the equivalent of 10,000 USDT in the USDT/ABRA liquidity pool, with a continuous holding period of 60 days, starting from day 21 of the platform launch. Assume that the pool liquidity is 1,000,000 USDT, and the current APR is 52%, or 5,000 ABRA per week at a rate of 1 ABRA = 2 USDT.

Let's calculate the holder bonus that the user will receive for this epoch. It is important to understand that all numbers are chosen for simplicity of calculation and are not predictions of the rate or TVL.

• userStrategyLiquidity = $10,000

• userBHMultiplicator = 3, as 70 Holder Days have been accumulated: 30 days for 10 days in the tripling period + 60 days for 30 days in the doubling period + 10 days in normal mode.

• userBHShare = 30,000, userStrategyBalance * userBHMultiplicator

• HBPool (Holder Bonus Pool) = 1,000 ABRA, which is 20% of the 5,000 ABRA allocated to the strategy.

• SumOfUserBHShares = 1,500,000, assuming the average multiplier among all users is 1.5.

Then the holder bonus for this week for our user will be 20 ABRA, or in annual terms, this gives an extra APR of 20.4%, which, together with the yield from the liquidity pool, gives an APR of 72.4%.

If the user withdraws any amount, even 1 cent, the number of holder bonus days will be reset to zero, and therefore the multiplier will be 1. In this case, the holder bonus for our user will be 6.66 ABRA, or the extra APR will be 6.8%.

If the user adds additional funds, their holder days and the multiplier will be recalculated. Suppose the user increases their investment by $1,000, then the new number of holder days will be approximately 63 days. In this case, the multiplier will not change, and the user will continue to earn an extra APR of about 20%. The APR will decrease slightly as the liquidity in the strategy increases, assuming other users do not alter their investments during this period.

However, if the top-up is more significant, for example, $5,000, then the new number of holder days will be approximately 46 days, and therefore the multiplier will be 2, resulting in an extra APR of about 14%.