DeFi & Staking
As the first order of business, the ecosystem's Utility Token which will be powering the dApps will be deployed. This token's supply & circulation will be controlled by the DAO. Emissions will occur only by staking KANGAL and KANGAL LPs. The name of the token was decided by the DAO stakeholders as $TEAK after this vote.
Kangal’s price will display the whole Kangal ecosystem’s value, and the Utility Token's price will be driven by the return percentage rate of minting for staking, the burns through the usage in the dApps, and fees gathered which will be driven by the transaction volume on the ecosystem usage.
While a sufficient amount of liquidity is healthy for any token, oversaturated markets tend to have constant sell pressure. Kangal attempts to prevent this by staking the main KANGAL and LP tokens. Staking is essentially locking the tokens to make them unavailable on the free market. In exchange, stakers are be rewarded $TEAK as per its emission set up through APR-M decided by the DAO.
The method of staking the liquidity you apply to the pools in exchange for $TEAK incentives is known as liquidity staking. PancakeSwap liquidity providers deposit liquidity (BNB + native tokens) into a PancakeSwap pool, liquidity tokens are minted and sent to the provider's address.
A 0.17% premium is distributed pro-rata to all LPs in the pool at the time of the exchange if a trade happens. PancakeSwap enables “liquidity suppliers to opt to sell, move, or otherwise use (e.g. stake) their liquidity tokens in whatever manner they see fit” in addition to receiving fees. As a result, liquidity suppliers will potentially stake the LP tokens using Liquidity Staking.
For a KANGAL LP supplier, maintaining the LP token is now doubly incentivized, so not only are you collecting trading commissions, but you're now earning $TEAK tokens on top of that.
Last modified 2yr ago