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Elrond Metastake product allows users to earn additional rewards over and above the conventional liquidity pool and farming rewards. The first project that will be available for Metastake is holoride RIDE tokens.
On Tuesday, February 1, smart contracts-based blockchain platform Elrond made a major announcement with its move into the Metaverse. Elrond launched Metastake, a new powerful DeFi product tailored particularly for the Metaverse.
Elrond notes that Metastake is an innovation that is unique to the Maiar decentralized exchange (DEX). Also, it is one among the first products that combine “token staking, liquidity providing and yield farming” in a single package.
Furthermore, Metastaking will be combining the utility of LP token farming with classical token farming into a new concept that will yield rewards for both. Besides, it also provides a simple way for token holders to stake them for the long term and simultaneously earn rewards for doing so. The announcement further notes:
“They (Metastaking) offer an additional income stream for liquidity providers, who now earn a third type of reward – denominated in the staked token – for providing liquidity, in addition to LP fees and the regular LP staking farm”.
Metastaking with Holoride RIDE Token
Elrond said that the first Metastaking shall be dedicated to the holoride RIDE token. The Metaverse pioneers will stake both RIDE and EGLDRIDELP Farm tokens and simultaneously earn RIDE rewards.
The long term supporters of holoride will get a simple and powerful staking mechanism for their RIDE holdings. They also get an options to compound the rewards for further benefits.
Interestingly, the EGLDRIDE liquidity providers who are already farming the MEX/LKMEX rewards in the regular Farms will be able to stake their Farm tokens in the RIDE Metastake, and earn RIDE rewards over and above the existing rewards. Thus, an EGLD/RIDE liquidity provider can earn three different types of rewards simultaneously.
- LP Fees from the liquidity pool
- MEX/LKMEX rewards from the regular farm
- RIDE rewards from the RIDE Metastake
Elrond announced that a total of 21,750,000 RIDE tokens will be offered as a Metastaking reward over the next year. The RIDE Metastaking shall go live in this month of February. The announcement also adds:
“Users staking RIDE directly will get the same reward as user staking EGLDRIDE LP farm tokens that contain an equivalent amount of RIDE. Otherwise said, rewards are the same per RIDE tokens, regardless of how they are staked. To account for the fluctuation of ratios in LP tokens, a “safe price” is periodically sampled from the EGLD-RIDE pool and used for rewards calculation”.
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