Bluejay Finance (Stablecoins)
  • Bluejay Finance Overview
  • Roadmap
  • What can I Do?
    • Stake BLU
    • Earn bluStables
    • Bond Assets
  • bluStables - Core Concepts
    • Overview
    • Treasury Bonds
    • Stabilizing Bond
    • Stablecoin Minting
    • Price Stabilizer
    • Collateralization
    • Oracle
    • Protocol Comparison
  • User Guides
    • Connecting Your Wallet
    • Buying and selling bluSGD
      • Buying and selling bluSGD via Uniswap
      • Buying and selling bluSGD via Peg Stability Module (PSM)
    • Buying Treasury Bonds
      • Buying DAI Treasury Bonds
      • Buying BLU/DAI Treasury Bonds
      • Buying bluSGD/DAI Treasury Bonds
    • Buying Stabilizing Bonds
      • Buying bluSGD/DAI Stabilizing Bonds
    • Redeeming Bonds
    • Buying and selling BLU
    • Staking BLU
    • Opening Support Ticket on Discord
  • Frequently Asked Questions
  • Technical Resources - Stablecoin
    • Overview
    • Code Audit
  • Bluejay Earn
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On this page
  • Staking Rewards
  • Passive Strategy
  • Reward Rate
  1. What can I Do?

Stake BLU

Staking allows users to lock up their BLU tokens, in exchange for the staked BLU (sBLU), to earn rewards. The rewards come from proceeds of bond sales and liquidity provider fees.

Staking Rewards

The staking reward is accrued and compounded every second to encourage and reward long-term stakers.

The continuous accrual mechanism means that:

  • stakers do not have to waste gas claiming rewards, or

  • be vulnerable to reward churning when malicious actors stakes during the ending period of an epoch to claim the reward, or

  • miss out on an entire epoch of rewards when the protocol implements measures against the churning

In addition, the compounding mechanism encourages stakers to remain staked for the long term as short-term rewards are significantly lower.

Passive Strategy

Once the BLU tokens are staked, the protocol will swap them for the staked BLU token (sBLU) which increases in amount each second. The sBLU token has a one-to-one exchange to the BLU token.

When you unstake, the sBLU token is swapped for an equal amount of BLU which does not accrue any rewards.

Reward Rate

The reward rate for BLU is determined by the monetary policy set by the DAO. The level is dependent on the proceed from the bond sale, fees collected from the liquidity pool on the various stablecoins as well as the projected runway for sustaining the reward rate.

The initial staking rate will be set to 35% APY until further action initiated by the DAO.

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Last updated 2 years ago