Staking is all the rage these days: from PoS validation, to hyper inflationary yield farms, to Vote Escrow systems, there are a variety of ways for you to stake and (hopefully) earn with your tokens. The $TAKE staking system is innovative in that it acts as your ticket to participation in the Launchpad AND a means of passive income!
We have been hard at work putting together the structure of a positive flywheel (our Launch-fueled buybacks) that will allow staking $TAKE to offer a sustainable source of secondary income. This is achieved through a combination of native redistribution (more $TAKE), and the distribution of newly launched tokens, delivered through our staking pool. The key is building a system that will last so we can deliver you something you can count on.
APR…APY…What is APR? Wen 42,069% APY?
APR- or Annual Percentage Rate, is the amount of return you can expect to see based on the amount you have invested. Calculating reward-based APR, we use the following formula:
APY- or Annual Percentage Yield, is the amount of return you can expect to see if you were to compound your rewards on a regular basis.
If you have poked around in the yield farming and staking space, you may have seen some of the absurd APR/APY numbers that occasionally float around. Mark Cuban himself was turned in to a glorious meme about the joys of DeFi and Degen APR’s.
We don’t want to promise anything we cannot deliver, so we have worked out some figures to be able to offer what we feel would be considered some very attractive returns when considering the primary function of staking is gaining access to the launchpad. When calculating the APR/ROI for staking $TAKE, we want to look at 5 things.
- Amount of $TAKE tokens allocated to the staking pool
- Amount of Launchpad tokens allocated to the staking pool
- Amount of tokens earned based on percentage of supply owned in the pool
- Amount of total circulating supply owned
- Emissions schedule for rewards
The Math That Matters
There are things we cannot calculate. Some of those include the price of entry across the staking pool, or the amount of tokens that will be staked at any given time. What we can calculate initially is distribution based on percentage of supply owned in the pool, what rate of return that distribution offers using fixed staked supply and market cap figures, and at what rate emissions are distributed.
Once staking is live, we will eventually be able to display the estimated real-time ROI based on the percentage of $TAKE supply staked in the staking pool and the relative market cap at that time. Keep in mind, this is supply-based as we cannot calculate the price of entry per staker (the earlier your entry, the higher your actual APR). We calculate the rate of return based on the total percentage and value of rewards received relative to the amount of total supply owned.
Emissions (also referred to as the drip), are the rate at which tokens are released to the staking pool per block cycle on the network. Currently, the Ethereum Network processes a new block once about every 13.4 Seconds, or apprx. 6,450 blocks a day.
This means that emissions need to be measured to an amount per-block to allow for the pool to “drip” x amount of tokens per day. When measuring and deciding on $TAKE token emissions, we ultimately want to give a rewards rate that is enticing but also capable of being sustained through token buybacks generated from Launchpad project income.
$TAKE Token Emissions — These will be drawn out to (ideally) be sustainable through buybacks performed with Launchpad income.
Based on a fixed $TAKE Market Cap of $1.7M MC ($0.0000017)
50,000,000,000 Initial Rewards Pool set aside at Launch
($85K worth of tokens at $1.7M MC)
30 Day Emissions Pattern = 1,666,666,666.6 Tokens Per Day Total (~$2,833.33 Daily Rewards for 30 Days based on fixed MC)
Assuming 100% of supply is staked :
1% of circ. supply would earn $28.33 Daily
1% of circulating supply =~ $17K, = ~0.166 % Daily Return
~61% BASE APR, likely higher with total amount staked not being 100%
*Emission Pattern May Vary To Provide Longevity
Launch Token Emissions — These are accelerated due to their nature, full supply of staking would be distributed within 7–14 days of launch.
*Assuming $1.7M MC/ ($0.0000017) for purpose of calculation
*Based on $TAKE token supply numbers
50,000,000,000 (5% Circ. Supply) Staking Rewards set aside
($85K worth of tokens at $1.7M MC)
7 day Emission Pattern= 7,142,857,142.85 Tokens Per Day
($12,142.85 Daily Rewards for 7 Days)
Assuming 100% of supply is staked
1% of circ. supply of staked $TAKE would earn ~$121.42 Daily
1% of circulating supply = $17K, = ~.7% Daily Return
~260% BASE APR, likely higher with total amount staked not being 100%
*This assumes a fixed price, could very like be higher depending on the launch
Take Emissions + Launch Emissions = ~.7% Daily + ~0.166 % Daily
Potential 315% + APR for staking during Launch Emissions!!!
( and that’s conservative)
What Does It Mean?
It means $TAKE is more than a launchpad access token. It is your ticket to multiple streams of non-inflationary passive income IN ADDITION to access to launches. An keep in mind, none of the current figures take in to consideration what you can accomplish by compounding your earnings, the potential you have to earn through participating in our Launchpad Launches, and the positive effect of price appreciation via our Buyback system.
Furthermore, we don’t like locks. You are free to come and go as you wish, though we think you will want to stay. Who knows, we may even add a “compound” option at some point…and did we mention our Trading dApp Takemichi Tools makes it so you can manage all of this without ever having to leave a single page?
Our tech team is working diligently to deliver our proprietary staking system and we are only at the beginning of what the Takemichi team is here to build, thanks to everyone for taking this journey with us.
— Team Takemichi