Reward Pool

What is the Reward Pool in DEIN?

The Reward Pool in DEIN is designed to motivate platform users by providing incentives in the form of DEIN tokens. It holds a fixed supply of DEIN tokens that may change in the future due to distribution and Buybacks.

The Reward Pool initially starts with a total supply of 220,000,000 DEIN tokens.

How are the rewards distributed?

The initial distribution of rewards from the Rewards Pool is allocated as follows:

• DEIN LP Staking: 25% of monthly rewards

• DEIN Native Staking: 15% of monthly rewards

• DEINxCover Staking: 60% of monthly rewards

It's important to note that the DEIN team (later the DAO) can choose to reassign rewards distribution for specific contracts or to create new ones with different incentive levels.

How often are the rewards distributed?

Rewards from the Reward Pool are distributed on a monthly basis (every 30 days).

What is the percentage of rewards distributed each month?

At the beginning of each month, 1.5% of the outstanding (current) tokens in the Rewards Pool will be distributed as the monthly reward.

The above setup means that:

• The reward pool is never exhausted since rewards are always awarded as a proportion of the pool's remaining tokens.

• The incentives decrease over time, but the net USD worth of the awards may grow if the DEIN token's price improves.

• This rewards mechanism provides capped inflation and is compatible with a fixed tokens supply (as opposed to perpetual inflation)

Can the distribution model be adjusted for each epoch?

Yes, the DEIN team (and later the DAO) has the ability to adjust the percentage distribution of monthly rewards for each epoch. This allows flexibility in allocating rewards based on changing market circumstances and priorities. This however will only happen with sizeable new releases and won't be a common occurrence.

Will the Reward Pool be replenished?

The Rewards Pool can be manually refilled with DEIN tokens through buybacks from the Treasury if the Pool's supply falls below 75% of the starting supply.

The Reward Pool plays a vital role in incentivizing and rewarding users within the DEIN platform, promoting active participation and engagement.