WXT is the native token within the Nereus protocol. As a mechanism to incentivise participation, WXT rewards will be received by both lenders and borrowers through Bonus APR for Depositing and/or Borrowing assets within the protocol.
Rewards may be redeemed immediately for a penalty, or in full after a three-month lock-up. Those wishing to immediately redeem the reward will pay a 75% penalty. This method incentivises users to hold WXT within the protocol with continuous rewards for doing so.
There are two mechanisms for receiving rewards; staking WXT to receive protocol fees, and locking WXT to benefit from the ‘exit’ fees of those taking rewards immediately.
Staking WXT is one of the mechanisms available for receiving rewards.
You can stake WXT by going to Manage WXT section:
To stake WXT, enter the amount of WXT you would like to stake and then click on the Stake WXT option. You will be required to approve usage of WXT and confirm the transaction on the blockchain. Please note that Staked WXT can be withdrawn at any moment.
Locking WXT is another mechanism available for receiving rewards.The mechanism of Locking WXT makes you eligible a proportion of penalty fees paid by the protocol users not willing to wait a 3-month lock-up period.
To lock WXT, enter the amount of WXT you would like to lock and then click on the Lock WXT option.
You will be required to confirm the lock action via blockchain:
Now that it has been done, the WXT will be locked for 3 months, and it won't be possible to withdraw it earlier.
The journal of the claimable fees (in different tokens) will be kept in the journal outlined in the box as per the screenshot below:
You can either claim a single token as a fee or rather claim all of the fees in different tokens simultaneously. Using 'Claim all' will be a more expensive transaction than using 'claim' on a single fee type; however, claiming each fee individually would be more expensive in aggregate than using the claim all button. Additionally, you can claim your staked WXT along with the generated fees via the following option:
To make claim transactions, you will be required to confirm those transactions via blockchain, thus additionally paying for the gas.