WOO staking

WOOFi Stake 1.0 was born back in December 2021 and quickly grew in TVL as WOO stakers were rewarded with 80% of all swap fees.

Despite a string of successes that include more than 100M total WOO staked and APRs as high as 20%, the community helped us identify areas that could be improved even further. One unintuitive point identified in WOOFi Stake 1.0 was the disparity in yield between chains. Chains with higher trading volumes where less WOO was staked received the most fees, and the dynamic nature of DeFi made it difficult to project where the best yields would be.

In WOOFi Stake 2.0, we made some changes to improve the model:

• leveraging Layerzero's cross-chain messaging to enable cross-chain staking, which provides the same APR regardless of which chain the WOO is staked

• staking rewards are now distributed in USDC instead of WOO

• introduces Multiplier Points ("MP") to incentive long-term stakers

• adding gamification through continuous challenges and NFTs to activate passive stakers with boosted staking rewards

• eliminating 7-day unstaking period

Omnichain staking

Users’ combined staking positions, MPs, and staking rewards are operated on Arbitrum, but thanks to an integration with LayerZero, you can stake your WOO and compound it on any supported chain for extra convenience.



Regardless of which chain you choose to stake your WOO on, the APR at which you earn USDC staking rewards will be the same.


The USDC rewards come from WOOFi protocol net revenue - 80% of which are gathered on Arbitrum every Thursday and given to WOO stakers over a 7-day period.

• When initiating a cross-chain transaction, additional gas tokens of the source chain need to be paid to cover the operations on Arbitrum. The cost varies according to Arbitrum's gas fee at that time.

• The time for the cross-chain transaction to complete varies according to the source chain and network status. Usually, it shouldn't take more than a few minutes before you see the total WOO staked number updated, while initiating from Polygon typically takes up to 20 mins.

Multiplier Points (MP)

Inspired by GMX, Multiplier Points (MP) are a way to reward long-term holders without inflation. They are earned passively by every WOO staked at a base APR of 30%. e.g. 1,000 WOO staked for one year would earn 300 MPs.

MP can be staked for fee rewards by using the “Compound” button, each MP will boost staking APR (paid in USDC) at the same rate as a regular WOO staked. However, unstaking any WOO will burn a portion of the multiplier points you have earned. For example, a user who unstakes 10% of their total staked WOO will also lose 10% of their accumulated MPs.

Challenges

If you stake at least 1,800 WOO, you can boost the APR at which you earn MPs up to a maximum of 101.25% by completing challenges that include:


• Trade spot on swap (only when sPMM liquidity is used) or perpetual futures on WOOFi Pro

• Keeping assets deposited in WOOFi Supercharger vaults

• Turning on the auto-compound feature (please be aware that you can’t claim staking rewards while this is enabled and you can’t disable it within 7 days) 


The status of each challenge is visible in the top-right corner and your multiplier points APR will update one day after completing any of them. The amount you need to swap and deposit in WOOFi Supercharger vaults to complete the challenges is determined by your staking tier (please see below).

WOOFi NFTs

In the coming months, we plan to introduce two types of WOOFi NFTs that can further boost your staking rewards:


• Consumable NFTs that can be earned through quests and then staked and burned to temporarily boost yield. The rarity of the NFT will dictate the size of the boost.

• WOOFi Avatar NFTs - NFTs that will provide a permanent boost to WOOFi staking yields. More details to come.

Still have WOO staked in v1? Follow the tutorial to migrate and continue earning rewards.