EMX Token Staking

The article will describe the ability for EMX holders to stake their tokens to earn payouts from the EMX Insurance Fund.  Every 2 weeks, EMX will pay 10% of the insurance fund’s net inflow to those who have staked EMX tokens anytime in the previous 2 weeks. If the previous two weeks saw net outflows, staked EMX tokens will be used to cover 10% of the net losses.

How to Stake

Users can go to their Account Settings -> EMX Staking tab to access staking capabilities.  There, one can choose to stake their unused EMX tokens or unstaked currently staked EMX tokens.  Staking and unstaking can be done at anytime.  Staked tokens are immediately considered for the next pay period.  Unstake requests are processed at the end of the 2 week cycle and one can cancel unstake requests at anytime.  Staked EMX tokens are automatically rolled over to the next period.

Staking Payout Calculations

Payouts from the insurance fund are done pro-rata, which means that any payouts are distributed evenly, based on how much EMX tokens were staked and for how long.  Calculations are conducted minutely to see the percentage of the EMX tokens a user has staked (out of all EMX tokens staked). This percentage is then multiplied by 1/20160 (20160 minutes in 2 weeks).  The sum of these products over 2 weeks are then multiplied by 10% * Net Insurance Fund Inflows over the previous two weeks to calculate total payment.  Payouts are done every 2 weeks every second Friday (midnight UTC time, two week calculation begins 12/6/19).  Payouts are in BTC (or in whatever currency the insurance fund has collected in the previous 2 weeks).