Grim Finance V2 For @SpookySwap $xBOO is Now Live!
What is xBOO and how it works?
When you deposit BOO in the buyback BOO pool, you get xBOO in return as proof of your deposit. xBOO is itself a regular token, just like BOO. The amount of xBOO you get back is based on the amount of BOO already in the pool and the current total supply of xBOO. This ratio will be displayed on the pool and starts at 1 xBOO = 1 BOO, it will continuously go up over time because of buybacks.
Example:
User A is the first to deposit in the buyback pool, they deposit 10 BOO and receive 10 xBOO as the initial ratio is 1:1
Next, trade fees are used to buyback BOO and sent to the xBOO pool, now there is 20 BOO. Since there are 20 BOO in the contract and 10 xBOO is the total supply, the ratio is now 1 xBOO : 2 BOO and User A can redeem his/her 10 xBOO for the 20 BOO at any time, based on that ratio. But let’s say they don’t do that.
Now, User B deposits 10 BOO to the pool and since the ratio is now 1 : 2, they get half of their deposit as xBOO, which would be 5 xBOO. Now the total pool is 30 BOO and total supply of xBOO is 15 (maintaining the ratio).
The ratio only changes as Fees are used to buyback BOO which is then sent to the pool and split equally among all xBOO holders, because each xBOO becomes worth more BOO (the share of BOO went up).
(REF : xBOO — SpookySwap)
How Does Grim Finance V2 works for BOO tokens?
Grim finance brought a great Engineered Vault to support BOO/xBOO token staking as the following:
- 1st, Deposited BOO in our Single Stake Vault. You will receive a receipt token GxBOO.
- 2nd, Once you deposited the BOO in our Vaults we will receive the xBOO
- 3rd, We will take the xBOO and deposit it in WFTM to receive WFTM rewards.
- 4th, Then we will Sell the WFTM for more BOO and then stake it for More XBOO.
- 5th, SpookySwap Finance might be distributing the FTM they received as a grant from Fantom Foundation to the xBOO holders. That being said, our contracts are engineered to receive these FTM, buy back BOO token and stake them for more xBOO. Note: we are not sure if that is happening but if it happen we have that accounted for. @SpookySwap
This mechanism will be happening automatically every hour harvest and re-stake your rewards for a compounding effect. Helping users reap more rewards, hassle-free.
About Spooky Swap
Spooky utilizes the Fantom network to deliver top speed, security, and scalable transactions. Your swaps will cost a fraction of a penny! Diverse Farms.
About Grim Finance
Grim Finance is a Smart Yield Optimizer Platform that allows users to stake LP-Tokens issued from the AMM’s in Grim Vaults, which automatically harvest and re-stake their rewards as LP-Tokens for a compounding effect. Helping users reap more rewards, hassle-free.
Source:
https://medium.com/@grimfinance11/v2-for-spookyswap-xboo-is-live-bdc5a9de6df5
