Protocol Earnings
Last updated
Last updated
The protocol transaction fees will be distributed as follows:
55% for Liquidity Providers in LP tokens
30% in dividends redistributed to xHIVE holders
15% to the Core Contributors funds
In addition to the hardcap set on HIVE, we also implemented some deflationary mechanisms in order to reduce the total supply.
When converting xHIVE to HIVE, if the vesting duration isn't the maximum, the xHIVE : HIVE ratio will be lower than 1:1, down to a minimum of 1:0.5. All of the HIVE excess will automatically be burned.
Example: If a user redeems 1000 xHIVE with the minimal 15 days vesting duration, he will obtain a 1:0.5 ratio, and receive 500 HIVE in the end
That means a total of 1000 - 500 = 500 HIVE will be burned during the process.
When deallocating xHIVE Plugin, a deallocation tax is applied. It can vary between contracts, but will usually be 0.5%.
The corresponding HIVE amount will automatically be burned.
