13.4 - Staking | The "DSO Pool"
Seat owners can stake to boost revenue.
Last updated
Seat owners can stake to boost revenue.
Last updated
A powerful way DSO's (designated seat owners) can boost the value of the seats purchased is by "staking" them into the "DSO Pool" (the multi-asset Balancer pool).
Single-asset-capable yield farming pool -- Balancer pools allow users to deposit one or more of the tokens in the pool and the system will split that into an equally balanced portion of each underlying token. This form of staking is essentially multi-asset liquidity providing to the pool. Regardless of which token(s) you deposit, you're ultimately buying into all of them equally.
How and when do DSO's receive yield? There are multiple ways LP's (liquidity providers) get paid in the ESTN pool: 1) Those underlying tokens in the pool which pay their native yield distribute based on their own schedule and method (example: USD++ pays in USUAL tokens which typically get paid out daily), 2) ESTN "Team tokens" bonuses get airdropped either daily, weekly, or monthly (depending on the team token and other factors). 3) Trading fee income: Like most trading pools, Balancer pools pay LP's (liquidity providers) a proportionate amount of trading fee income based on your % of the entire pool. These are the 3 main ways users receive yield for "staking" or in our world, simply providing liquidity and holding the ESTN LP token.