Staking in Afflantium
There are 2 core pools (contracts) in which you can stake tokens in order to receive additional $AFFL tokens. Below is a detailed look at each pool:
• Afflantium pool — This pool only holds $AFFL. It has a pool weight of 0.3
• $AFFL/USDC pool — This pool only holds LP tokens. It has a pool weight of 0.7
The major differences are what you stake into the pool, the pool weight, and the risk.
With the $AFFL pool, you stake $AFFL. With the $AFFL / USDC pool, you first provide liquidity to the $AFFL / USDC pool and receive LP tokens. You then stake those LP tokens. The $AFFL/ USDC pool receives a larger percentage of the dispersed tokens. By providing liquidity you are increasing the total liquidity in the pool, which has the positive benefit of lowering the slippage when someone purchases from the pool. In order to somewhat mitigate the risk of Impermanent Loss, you also earn a percentage of the exchange fees from the pool.
**** Pool Weight
The value of one pool compared to others in the protocol for the purpose of liquidity mining. Pools with higher weights will receive more tokens from liquidity mining. For example, if there are only two pools, one with a weight of 0.3 and one with a weight of 0.7 — then they will receive 30% and 70% of the liquidity mining tokens, respectively. Pool weight is not used to calculate vault distributions.
