Firebird Finance mHOPE Rewards Calculation
Firebird Finance is growing exponentially. This week we broke our all-time profits record, and we are just beginning.
As we have kept adding new Vaults to our platform, and have announced important partnerships with great projects. We are full steam ahead.
Of course, our focus remains fully on servicing our users. To that effect, all our growth and important announcements are there to benefit of our passionate community.
How?
Well in this article we’ll break down how anyone can benefit from our success, so we can grow together.
mHOPE is Firebird Finance’s passive income tool.
The mHOPE token is our platform’s governance token and fee distribution tool. It was designed to allow users the ability to have a say on the platform and get rewarded by holding HOPE tokens long-term.
At the moment HOPE is staked on Firebird Finance ‘Governance’ tab, a user receives mHOPE in proportion to their tokens and lock period.
After that has happened, a user immediately begins earning rewards from the fees collected by people swapping tokens on our DEX. The fees are paid in USDC and can be viewed in the ‘Stake’ section of our platform when connected to the Polygon network (mHOPE-P staking is in the ‘Farm’ tab for BSC).
Through this mechanism, any person can generate passive income and share in the growth of Firebird Finance platform.
Also, remember that any early withdrawal from mHOPE to HOPE prior to the locking period ends will result in 50% of your staked HOPE being burned while you receive the other 50% instantly.
For a guide on how to get mHOPE and stake it go to Firebird Finance Academy.
Reward share calculations
As we’ve said, how much mHOPE a user generates depends on the locking period. On the Governance page, you will have multiple locking options ranging from 1 week to a maximum of 4 years. For example, locking 100 HOPE for one week will create 0.48 mHOPE tokens, while doing the maximum of 4 years will create mHOPE tokens at a 1 to 1 ratio or in this case 100 mHOPE tokens.
Let’s run down some calculations for a user locking $5000 in HOPE tokens at the current volume levels on Firebird Finance. That means the user will stake his/her HOPE tokens for the full 4 years, or for our table 1440 days.
The above user staked $5000 in HOPE tokens for the maximum period of 4 years. The platform generates $59149 in fees weekly to be distributed among mHOPE token holders.
So, given these values, a user would recuperate its initial investment in 56.8 days using present values.
The result is an Annual Percentage Rate (APR) of 642.58%.
In this table, mHope is equal to the HOPE price for the purposes of APR calculations.
An increase in the HOPE price gives a lower APR and modifies mHOPE staking. An increase in the Total Value Locked (TVL) in the staking pool gives lower APR, this is known as pool dilution.
Finally, any Increases on the Firebird Finance platform profits give higher APR because there are more profits to be shared.
As Firebird Finance keeps growing, it will generate more fees. This will increase the rewards that we can distribute to our mHOPE token holders. Now is the time to come on board, and share in the growth of our platform.
Start to Stake and earn
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