Polaris Supernova Rewards Calculation
To understand reward calculations its helpful to separate the algorithms between the rewards calculations at the aggregated level and the rewards calculated for each of the individual stakers.
Aggregated Supernova Rewards Calculation
Supernova total rewards pool grows at the displayed APR%.
The displayed APR% is based on the Locked Rewards Remaining in the pool, divided by the time remaining in the pool.
Over time, these locked rewards are unlocked into the Unlocked Available Rewards pool, on a straight line basis.
Stakers Rewards Calculations
Stakers then take a share of these Unlocked Available Rewards, which reduces the rewards available for the remaining stakers. However remaining stakers take a higher share of the rewards going forward. This is the competitive element of the Supernovas.
A staker’s Estimated Rewards is based on their share of the Unlocked Available Rewards, calculated based on their relative stake and their relative time staked. So if someone owns 1% of the total stake, and they have a 3x time bonus compared to an average time bonus of 1.5x, then they will have an Estimated Rewards of 2% (1% x 3/1.5) of the Unlocked Available Rewards.
If this staker then harvests their rewards by withdrawing their stake, they will have the option to spend Polar to receive a harvest multiple compared to their current Estimated Rewards above.
This is then removed from the Unlocked Available Rewards, reducing other stakers Estimated Rewards. However, remaining stakers will earn a higher share of the rewards going forward. Even if the harvesting staker re-stakes they would have lost their time bonus.
Polygon Polar supernova as an example
Aggregated Rewards calculations and steps using current scenario:
- Total staked Polar of 12,136,764
- Locked Rewards Remaining 614,123 Polar
- Remaining duration 12.3
- So each day 49,929 rewards are unlocked
- This is 0.4%/day relative to Total Staked, or 150% APR%
Unlocked Available Rewards Pool
- Currently 85,474 (this currentlt isn’t displayed on website but can be seen on blockchain)
- Unlocked rewards increases as new rewards are unlocked (49,929/day above)
- Decreases whenever someone harvests their rewards (see below)
Stakers reward calculations
- Estimated Rewards is calculated based on a % share of the Unlocked Available Rewards pool
- Say a stake owned 1% of the Polar Supernova pool and it has been staked for 14 days which is enough time to earn the 2x time bonus
- Lets say that all other stakers on average had a time bonus of 1.5x
- So this staker would have Estimated Rewards of 1,139 Polar based on their 1.333% (1% x 2/1.5) seconds share of the 85,474 Polar tokens in the Unlocked Available Rewards pool
- The staker then spends 1,000 Polar for a 4x Polar Harvest Bonus referenced to the Estimated Rewards, resulting in 4,557 Polar rewards (4 x 1,139 estimated reward)
Note that the displayed Polar harvest multiple, the displayed actual rewards and the displayed estimated rewards don’t tie up because the multiple is applied to the relative seconds shares.
Continuing with this example, the remaining stakers’ Estimated Rewards would have fallen, because the Unlocked Available Rewards would have reduced by 4,557 Polars to 80,916. This fall in Estimated Rewards can be drastic if a whale harvests or large number of stakers’ harvest their rewards.
However, over the next day the Unlocked Available Rewards would have earned 49,929 to reach 130,845 Polars, if no others stakers withdrew/harvested.
Remaining stakers would pick up a higher proportion of these new rewards because the 1% staker would no longer be taking their share. In the scenario where the 1% staker re-invests, then their time bonus would have been lost, resulting in a higher share for remaining stakers.
So competitive staking requires a judgement call between taking a share of a higher Unlocked Available Rewards now and losing their time bonus for future rewards.
Supporting website upgrades
We have added onto our IT Roadmap to include some additional information on the supernova UI to help farmers have a better understanding of their rewards. This will help stakers make better competitive staking decisions.
Additional data will include aggregated Unlocked Available Rewards, Daily Rewards Unlocked and Average Pool Time Bonus. Also click through to a graph showing these over time and the history of Daily Harvested Rewards. The Stakers Time Bonus will also be corrected to display their average of several stakes deposited at different time, as it currently only reflects the first stake.
🪐 Website: https://polarisdefi.io
👨🌾 Supernovas: https://app.polarisdefi.io/
💻 Github: https://github.com/polarisdefi/
📖 Gitbook Docs: https://polarisproject.gitbook.io/polaris-defi/
🐦 Twitter: https://twitter.com/polarisdefi
💬 Telegram: https://t.me/polarisdefi
🎮 Discord: https://discord.gg/v3w9wZgcG6
📢 Telegram Announcements: t.me/polarisdefiANN
🍣 Buy POLAR on SushiSwap: https://app.sushi.com/swap?inputCurrency=0xdc3acb92712d1d44ffe15d3a8d66d9d18c81e038