Weekly Rewards Breakdown: July
Dear Chaotic Fam,
From now, during the first week of each month, we will share with the community the weekly rewards breakdown.
We’d like to take this opportunity to go over how Chaotic Finance’s weekly rewards work. Please find a quick refresher below:
A fundamental part of the Chaotic Finance protocol is the ability to stake CHAOS on Chaotic Buildr and use it as collateral to mint cUSD. By staking their tokens and minting cUSD, users act as the counter-party against all synthetic asset trades on Chaotic Exchange. In response, stakers earn inflationary rewards in the form of CHAOS and pro-rata cUSD fees generated on the Chaotic Exchange on a weekly basis.
40% of CHAOS’s total supply is allocated to reward users who stake CHAOS to incentivize the community to stake CHAOS and build cUSD to trade synthetic assets on Chaotic. Staking rewards are distributed weekly, have a 2-week claiming period after which they are forfeited, and subsequently rolled over and shared with the other stakers. Additionally, 15% of these rewards will be distributed to users of Linear Finance who held debt on Linear Buildr during the respective weeks.
The below table will give you an overview of the CHAOS rewards during July.
Stakers also earn cUSD from the trading fees on Chaotic Exchange. The trading fee is 0.25%, of which 70% goes to stakers, and 30% goes to the Foundation.
The below table will give you an overview of the cUSD fees collected during July.
We look forward to providing you with the next breakdown in a month.
About Chaotic Finance
Chaotic is the first community-driven delta one asset protocol on the Kusama network via Moonriver. Chaotic allows its users to get exposure to various synthetic assets by letting them trade long and short positions with up to four times leverage.