Reward
Last updated
Last updated
User Deposits: Users deposit their assets into the Vault.
Vault Allocation: The Vault distributes these assets to various Liquidity Pools (LPs).
Primary Rewards:
The LPs generate yield and BGT (likely a native token) rewards.
These rewards are sent back to the Vault.
Auto-compounding: The Vault automatically compounds the yield by converting it back into assets and reinvesting in the LPs.
BGT Delegation: BGT rewards are delegated to Validators.
Validator Rewards: Validators provide extra BGT rewards and potentially additional incentives (referred to as "Bribe") back to the Vault.
Extra Rewards: The Vault accumulates all these rewards (yield, BGT, and extra incentives) and distributes them back to the users as "Extra Extra Reward".
This creates a circular "flywheel" effect where user deposits generate multiple layers of rewards, which are then redistributed to users, incentivizing further deposits and participation in the ecosystem. The system aims to maximize returns through diversification (multiple LPs), auto-compounding, and leveraging validator rewards.
Rewards are calculated based on each user's share of the total assets in the vault.
When a user's position changes (through deposits or withdrawals), their reward is recalculated.
For example: When a user deposits more assets, their reward is recalculated based on the new share of the vault. Conversely, when a user withdraws assets, their reward decreases proportionately.
The Annual Percentage Yield (APY) is derived from lending interest rates.
It's updated every 30 seconds to reflect current market conditions.
The vault's overall APY is calculated as a weighted average of the APYs from various lending protocols.
Rewards are automatically reinvested every 24 hours (1 Epoch).
This feature is applied to the entire vault and cannot be disabled by individual users.
The system delegates BGT (likely a governance token) to validators for additional yield.
Delegation is distributed among validators based on their reward amounts.
WeBera also has an optimizer for BGT delegation based on incentives from different validators.
