In Brief
- Launch of Illuvium Staking V3: The new staking system, now operating on the Base network, aims to improve performance and accessibility by moving away from Ethereum.
- Innovative Dual-Reward Model: Stakers in V3 can earn ILV tokens via revenue distribution and Shards as seasonal loyalty points, enhancing user incentives.
- Enhanced Reward Systems: Features like variable lock periods, multipliers, and an OG Boost are designed to reward both new and veteran users effectively.
Introduction to Illuvium Staking V3
In a significant update, Illuvium has released its Staking V3, transitioning to the Base network from Ethereum. This strategic move is intended to optimize user experience in terms of staking interactions, reduce transaction costs, and boost the system’s performance and dependability.
Detailed Features of Staking V3
Staking V3 introduces a unique dual-reward system where stakers can accumulate ILV tokens through the RevDis protocol after every 150 ETH of generated revenue. Furthermore, participants are awarded Shards daily—these act as seasonal loyalty points, with more details on their usage to be announced. Stakers have the choice of different vaults which impacts the quantity of Shards received. The accrual is influenced by the staked amount, the duration of the stake, and any applicable multipliers.
This system operates on a biannual (six-month) season basis, after which Shard emissions and reward calculations are reset. Shard emissions decrease weekly by 2.97% each Monday, ensuring a steady, diminishing pattern throughout the season.
Multiplier and Vault Dynamics
The V3 staking offers considerable incentives for long-term commitments and early participation through its multiplier system. Depending on the chosen lock-in period, which ranges from 30 to 365 days, lock-in multipliers vary from 1x to 2x. Additionally, an OG Boost rewards early stakers based on their previous engagements on the Ethereum network.
Overall, the combination of locking multipliers and the OG Boost can accumulate up to a 3x cap, aiming to maintain a balanced and fair system that benefits both longstanding and new participants.
Transitional Mechanics and User Interaction
To facilitate a smooth transition from Ethereum to Base, Illuvium uses the ILV Bridge, powered by LayerZero. This technology enables a seamless and trustless transfer of assets necessary for integration into the new staking platform.
Users interested in engaging with Staking V3 need to transfer their ILV tokens via this bridge to Base network. Following this, they can select their preferred vault and lock period via the Illuvium staking interface on their website, which also supports daily claims or rewards accumulation. This method ensures that all users, regardless of their previous interaction with Illuvium’s staking systems, can participate in a structured and equitable manner.