Locus index tokens staking (stIndex)
An overview of Locus indexes staking.
Last updated
An overview of Locus indexes staking.
Last updated
At the moment index staking is available only for xUSD. More indexes soon.
In simple words, it's earning extra income from Locus indexes. To earn extra income you will need to convert your index tokens, i.e. xETH, xUSD, xARB, etc, to the staking version of the token, i.e. stxETH, stxUSD, etc.
Index token staking will earn additional yield in Locus token on top of index yields. The yield on the staking index will be approximately 20% APY at launch in March '24 and will gradually reduce over 10 years to approximately 6% APY.
As previously mentioned for staking, index tokens need to be converted to the staking version of the index token.
Staking tokens have the prefix "st" to the index token name, all index staking tokens will be referred to by the common name stIndex. stIndex not a real existing token, but a common name for the stxETH, stxUSD, etc.
Index staking APY depends on the total amount of staking vault tokens as an emission variable and LOCUS price. APY number calculated by weekly rewards claim and restake. Staking rewards accrued in LOCUS tokens
You can see the staking APY value on a dashboard card as a main number on the index page with the turned-on "Staking" option
stIndex cannot be bought or sold, it can only be obtained by converting the index token [ex. xUSD to stxUSD] on the index or staking page. Also, to then sell the token, it will need to be converted from stIndex to a regular index token first. These processes are called staking and unstaking.
Thus, to get stxUSD you need to stake the xUSD token. Buy xUSD, then
Or, click on a "Stake" button on a index page
Or, go to the staking locus page, click "Open" in an xUSD staking row, and select the "Stake" tab.
Staking rewards will be automatically added to your "Earned" balance daily.
Staking rewards are shown in USD equivalent, however, take note that rewards accrued in stLOCUS tokens.
stIndex cannot be traded directly, to trade it you have to unstake stxUSD to xUSD, this can be done
Or, on the staking page.
Or, go to the staking locus page, click "Open" in an xUSD staking row, and select the "Unstake" tab.
In the unstaking window, you will see 2 fields - the amount of index tokens you are going to unstake, and the amount of tokens you receive.
Index tokens unstaking happen instantly without any fees except gas
In the claim rewards tab, you will see 2 fields - the claim rewards period, and the number of LOCUS tokens you receive. Claim works the whole amount at once
The amount of tokens received after claim rewards depends on the selected period:
30 days - no claim fee
in 14 days - 25% claim fee
in 7 days - 37.5% claim fee
Instant claim - 50% claim fee
If claiming is confirmed, tokens will be locked for the selected period ceasing to yield any return. Claiming rewards cannot be canceled after confirmation.
The deducted claim fee is burned from the circulation supply and serves as the price balancing mechanism protecting long-term holders' intentions from the aggressive volatility of those who want to extract profit.
