Stake

Simple Explainer:: You can stake your NFTs directly as an Inventory Provider OR you can generate a Liquidity Position to earn fees from all trading activities inside the Vault.

Why stake in PIPX?

Earn fees from the vault, currently, 100% of PIPX fees are paid out to those that stake. Liquidity providers earn a share of 80% and inventory providers earn a share of 20% of the fees.

Stakers also receive an ERC20 “xToken” like xDHDWBNB which is a claim on the underlying staked SLP, or xDHD which is a claim on the underlying staked inventory. We expect other projects to build use cases for these xTokens.

APRs are calculated by annualizing the last 7 days of the vault's fee earnings. The real rate of return will vary throughout the year.

How to stake on PIPX?

To stake on PIPX you need an NFT from that collection. In this example, we're going to look at Phoenix collection.

There are two ways to stake and earn fees

  • Liquidity staking

  • Inventory staking

Remember that in both situations your NFT ends up inside of the vault where anyone can buy or swap it back out. You are not guaranteed to get the same NFT back, so don't stake any rare NFTs or NFTs that you are attached to.

Inventory Staking

Go to the Stake page on the vault.

Select the NFT that you would like to stake as inventory into the vault. Note that in the image below we are staking Phoenix Class 3 #823 which will give me a share of the inventory rewards (which is 20% of the fees), and the position will be locked for 7 days.

The lock period is there to avoid users from using staking as a way to bypass the mint/sell fees.

Once you have confirmed BOTH the Approve and Stake transactions you will receive the message that your transaction was successful.

Your staking Position can be seen in our Staking section at Pi Protocol

This will provide you with an xTOKEN (xPC5) which is a reference to your staked inventory position. The xTOKEN is usually less than the number of NFTs you have added, for example, we received 0.9241 xPC1 back from staking one Phoenix Class v1.

When we decide to exit our position, that is equivalent to at least 1 PC1 token plus any fees that are accrued during the time we are staked. When exiting you are also able to claim a random NFT from the vault and bypass the redemption fee, so you're always guaranteed to get the same number of NFTs out of the vault that you put in when inventory staking.

Liquidity Staking

Go to the Stake page on the vault.

Select the NFT that you would like to stake as liquidity into the vault. Note that in the image below we are staking Pheonix Class 5 #1520 and #1407 combined with BNB which will give me a share of the liquidity rewards (which is 80% of the fees), and the position will be locked for 2 days.

The lock period is there to avoid users from using staking as a way to bypass the mint/sell fees.

Once you have confirmed BOTH the Approve and Stake transactions you will receive the message that your transaction was successful.

This will provide you with an xTOKENWBNB (xPC5WBNB) which is a reference to your staked liquidity position. The xPC5WBNB is usually less than the number of NFTs you have added, for example, we received 0.0992 xPC5WBNB back from staking one Phoenix Class 5. This is your claim on the SLP on SushiSwap.

When we decide to exit our position, that will not be equivalent to the 1 Pheonix NFT or equivalent BNB you added into the pool when staking. If there were lots of sells you will get back more Pheonix tokens and less BNB, if there were lots of buys then you will get back more BNB and fewer Phoenix tokens, and unlike Inventory staking your rewards are not compounded into your position, and instead, you can claim them at any time through the Dashboard.

Your staking Position can be seen in our Staking section at Pi Protocol

How to UNstake your position on PIPX?

You can unstake both your liquidity and inventory positions on the Pi Protocol Staking Page

Find the position that you would like to exit and select the "Unstake" button.

Inventory Unstaking

When unstaking your position you have the option to receive just the vault tokens which you can then sell on PancakeSwap for BNB, or you can claim a random NFT (or multiple if you staked more) and bypass the random redeem fee.

There is also the option to "Withdraw remaining x.xxxx TOKEN" which you could then sell on Sushi. If you decide not to claim the additional tokens they will remain staked and earning fees.

Liquidity Unstaking

Choose the "Unstake" button and select the amount of xTOKENWBNB you would like to withdraw. This will return the SLP token which you can then unwrap on PancakeSwap directly.

Before we unstaked there were 6,93PC1 tokens that can be claimed. If you are unstaking your position those tokens will automatically be claimed as part of the process, saving you an additional transaction fee as part of the process.

When unstaking you will automatically claim all the reward tokens as well (so there is no need to claim your rewards before you unstake).

Removing Liquidity from Vaults

Steps to remove your liquidity

Head over to the pool in which you are providing liquidity. An easy way to do this is to find the Vault on the Vault Header and click on the “Sushiswap” button.

Choose the “Liquidity” tab from that pool and then select “Remove” from the options. In this case, we’re going to remove all of our liquidity from the pool and we will get back 0.2 BNB and 12 PC5 tokens.

You will first need to “Approve” the transaction and then “Confirm Withdrawl”.

Once the transaction has been processed you will receive a confirmation along with details about the final Tokens and BNB returned.

You will now be able to view your tokens in Metamask, and if you go to the DaPP you can see your tokens in the header and sidebar.

With your tokens, you can now Redeem your NFTs from the Vault.

FAQs

Why has my claimable balance not increased?

Rewards are earned when the vault generates fees.

APRs are calculated based on the last 7 days of vault fees.

Do I have to remove my Liquidity?

No. You can keep your liquidity on the current vaults for as long as you would like and continue to earn fees on the trades on SushiSwap.

You will not be able to stake your liquidity and earn any of the 5% minting and 5% targeted fees on the new vaults unless you become a liquidity provider.

I still have fractions of a token left after withdrawing my liquidity, what can I do?

These fractions of tokens are often referred to as dust. You have three options.

  1. Sell the fractions of the token you have on a DEX like SushiSwap. For low value NFTs there is a good chance that the GAS cost of this transaction will exceed the value of the dust.

  2. Buy more of the token to take you up to one full token and use it to redeem an NFT from the pool.

  3. Hold onto the dust until PiP move towards a buyout.

  4. We expect there will be one NFT stuck in each of the vaults due to the dust and reduction of the liquidity.

Lower liquidity does not impact the redeeming of NFTs from the Vaults.

1 Token is always worth 1 NFT from the corresponding vault.

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