Staking in Rigel Finance
Rigel.finance
Staking means locking your crypto assets in a proof-of-stake blockchain for a certain period of time. These locked assets are used to achieve consensus, which is required to secure the network and ensure the validity of every new transaction to be written to the blockchain. Those who stake their coins in a PoS blockchain are usually called “validators.” For locking their assets and providing services to the blockchain, validators are rewarded with new coins from the network.
For a blockchain to perform efficiently, validators are required to provide stable and secure services. Blockchains often enforce this by slashing a validator’s stake for dishonest or malicious behavior. To run a successful validator node, an agent needs to be committed to a selected blockchain and run a secure and continuously available infrastructure. Some blockchains have a significant lockup period (during which validators cannot retrieve their coins) as well as certain minimum thresholds for staking. To avoid dealing with all these requirements, many owners of crypto assets prefer to delegate their coins to a validator running a staking pool. Some blockchains (like Tezos) have a built-in mechanism that allows anyone who does not want to be a validator to delegate their coins to a validator on the network. This validator then performs all the work and shares the reward with their delegators.
When Staking in Rigel Finance, you will earn a portion of the swaps fees based on the amount of xRigel held relative to the weight of the staking. xRigel can be minted by Staking Rigel. To redeem Rigel staked plus swap fees convert xRigel back to Rigel.
The remaining portion of the trade fee paid goes to a pool called OrionNebula. The OrionNebula contract collects the fees from all the pools, and when the reward distribution command is called, it then sells all the fees turning them into RIGEL, via RigelSwap Exchange.
OrionNebula allows you to stake your RIGEL and receive xRIGEL in return, and then you stake it in the xRIGEL pool. When users make trades on the RigelSwap Exchange, a 0.3% fee is charged, 0.05% of this fee is added to the OrionNebula pool in the form of LP tokens for the relative pool.
