UPDATE: Based on some technical issues with Mintr.io and the Trezor integration we have decided to take the snapshot for eligibility for SNX rewards on 12:00:00 on March 19 UTC for the first fee period.
2nd update (November 11, 2019): the content in this article is no longer up-to-date. Please check the blog for more recent information.
We have had several requests to provide the calculations for the SNX staking rewards that begin at 12:00:01 on March 13 UTC.
This post will detail the calculations with some examples.
Each SNX fee period is currently one week, the first period for which SNX rewards will be issued runs from the 12:00:01 on March 13 UTC to 12:00:00 on March 19 UTC and will continue weekly.
In order to be eligible for SNX staking rewards your wallet must have issued sUSD before the start of the period at 12:00:01 on March 13 UTC.
For the first 52 weeks, 1.44m SNX will be distributed weekly. The distribution is based on the percentage of the Synth supply issued by each wallet at the close of the fee period.
In addition there will be penalties applied for wallets that are under collateralised as per the below table:
• 333% - 500%: 25% reduction
• 250% - 333%: 50% reduction
• <250%: 75% reduction
Bob has not issued sUSD by 12:00:01 on March 13 UTC, Bob will get zero SNX even if he issues during the fee period.
Carol issued 0.5% of the Synth supply on the 11th of March 2019 UTC, then during the fee period she issued additional synths so her total contribution is 1% at the close of the fee period. She will get 1% of the weekly rewards, i.e. 144,000 SNX.
Dave issued 5% of the supply on the 5th of March 2019 UTC, and has not adjusted his C ratio since then which has fallen to 300%. Dave is eligible for 2% of the weekly rewards but will have a penalty of 50% applied for being below the minimum C ratio when he claims his fees, he will receive 36k SNX rather than the 72k he would have received had his C ratio been above 500%.
A couple of important points:
- You can claim for up to six weeks of SNX rewards, but if you don't rewards for a given period within six weeks you will lose those fees which will roll into the next fee pool and be distributed to all SNX holders.
- If you fix your C ratio before you claim your SNX rewards no penalty will apply, even if your C ratio was poor during the fee period.
Hopefully that helps to clarify the distribution process, which is the same for exchange fees. If you have any questions feel free to ask in Discord.