KINE Staking starts from 1st Apr ! KINE holders can now enjoy exclusive rewards by locking KINE. Process as follows ：
Lock KINE to get xKINE, 20% of the Kine.Exchange fee income will be granted to xKINE holders exclusively.
xKINE can then be staked along with other ERC20 assets and mint kUSD, enjoy the second layer rewards.
Kine.Exchange will send KINE rewards to xKINE contract on weekly basis, driving up the exchange ratio of KINE/xKINE.
xKINE holders can unlock KINE tokens by returning xKINE. Unlocking will incur a 2% transaction fee to encourage long-term stakers.
Simple example below to help better understand the rules of xKINE contract.
On 1st Apr, John locks 100 KINE, he will get 100 xKINE as initially the KINE/xKINE ratio is set at 1.00.
On 8th Apr, Kine exchange grants 10 KINE to KINE/xKINE contract, now KINE/xKINE ratio changes to 1.10.
On 9th Apr, Mark locks 110 KINE, he will get 100 xKINE with the KINE/xKINE ratio at 1.1. The xKINE contract now locks 220 KINE and issues 200 xKINE.
On 15th Apr, Kine Exchange grants 30 KINE to xKINE contract, the KINE/xKINE ratio changes to (220+30):200, or 1.25.
On 15th Apr, John decides to unlock his KINE. As he holds 100 xKINE, he can withdraw 125 KINE at the ratio of 1.25. Meanwhile, 2% of the withdraw amount will be reserved in the xKINE contract. Effectively, John will receive 125*(1-2%) = 122.5 KINE on withdrawal.