Calculation

The Calculation for DeFi Magic NFT and BitCircle NFT

The following EXAMPLE is only for educational purposes because the Pi Protocol smart contract calculates everything automatically.

ASSUME the price of a PIP token is $6 in this EXAMPLE:

• If the user stakes or deposits DeFi Magic Partner NFT or BitCirle NFT, Pi Protocol will lend 60 PIP tokens to the user

• 60 PIP tokens are $360 in this example (60 PIP tokens * $6)

• Pi Protocol will use this $360 and buy CAKE/BNB pair to stake it on Pancakeswap Farms for staking rewards

• ASSUME the Annual Percentage Rate (APR) on Pancakeswap Farms is 40% and this assumption ignores price fluctuations

• The total staking rewards in dollar value is 40% * $360 = $144 in a year

• The monthly staking rewards in dollar value is $144 / 12 Months = $12

• If the user decides to unstake or withdraw the NFT, the user’s monthly rewards will be $12

The Calculation for Treasure Hunt NFT

Using the same ASSUMPTION price of $6 for each PIP token and APR%, Pi Protocol will lend 200 PIP tokens to the user:

• 200 PI Tokens is $1200 (200 PI Tokens * $6)

• The total staking rewards in dollar value is 40% * $1200 = $480

• The monthly staking rewards in dollar value is $480 / 12 Months = $40

• If the user decides to unstake or withdraw the NFT, the user’s monthly rewards will be $40

How Pi Protocol Benefits from NFT Aggregator Vaults?

Buying and selling PIP tokens when the user stakes/deposits and unstakes/withdraws generates trading volume and the 4.5% transaction fee or tax benefits Pi Protocol and bCircle Infinite Pool holders.

The community from the partner projects will also learn about Pi Protocol and might be interested to participate in the Pi Protocol ecosystem.