Primis Point System
Last updated
Last updated
The Primis Protocol introduces a Rewards System to accumulate Primis Points, which may qualify participants for a future governance token airdrop of PRIMIS. Participants can engage in four main activities to earn Primis Points:
Staking PRM Tokens: Earn 1 point per epoch for each PRM token staked. This is further multiplied by your Weighted Average Boost, which is determined by any active bond boosts you have.
Bonding: Immediate points are awarded for bonding, with 100 points granted for every 0.1 ETH worth bonded. Additionally, for each epoch a bond is held (or a deposit is made into the BLP), you'll receive 10 points for every 0.1 ETH bonded. For instance, bonding 1 ETH instantly nets you 1,000 points, and for every epoch the bond is held, you gain an extra 100 points.
Setting a Bond Fee: Specifics on points for setting bond fees aren't provided, but implementing a bond fee is listed as a point-earning activity.
Liquidity Provision (LPing) prmETH with ETH, stETH, or PRM: Earn 50 points for every 0.1 ETH value of LP contributed. This is also multiplied by the Weighted Average Boost (WAB) derived from bonds with an active boost.
These structured activities and point calculations offer participants various avenues to engage with the protocol actively, encouraging diverse participation while aiming for rewards through the upcoming PRIMIS token airdrop.
Beyond the points earned from the primary activities, participants can further increase their points through an active boost, which is applied based on specific bond settings:
Bond Period: The duration of your bond can influence the boost, with longer periods potentially offering a higher boost to the points earned from your activities.
Bond Fee: Setting a bond fee can also contribute to the active boost. The higher the fee you set upon creating a bond, the greater the boost you may receive on your points.
These mechanisms incentivize users to engage more deeply with the protocol's features, such as by committing to longer bond periods or opting to set bond fees, enhancing their overall contribution and reward within the system.
When you secure a boost through bond settings like the Bond Period and Bond Fee, this boost is assigned to each individual bond. These individual boosts are then calculated into a Weighted Average based on your deposit amount and the specific values you've set for each bond. This weighted average boost is subsequently applied to enhance points earned from other reward activities, such as staking.
Crucially, this boost is associated with each specific bond NFT, meaning that possession of the bond NFT is necessary to benefit from the active boost. Whoever holds the bond NFT at any given time will enjoy the advantages of the active boost, underlining the value and importance of the bond NFTs within the ecosystem.
The following is the formula for calculating the Weighted Average Boost:
Setting a bond period longer than the minimum of 7 days grants you an additional active boost on points earned. Each day beyond the minimum adds a 1% boost to that specific bond's earnings. Therefore, opting for the maximum bond period of 365 days results in an active boost of 358%, or effectively multiplying your points by 4.58 times.
Following this mechanism, if you choose a 365-day bond period, thereby reaching the maximum, an initial bonding action worth 1,000 points would be boosted to 4,580 points due to the 4.58x multiplier. Moreover, for each epoch that the bond is held, the additional points earned would also be multiplied by this rate, making for 458 additional points per epoch in this example. This showcases the significant impact of choosing longer bond periods on the rewards potential within the system.
Setting a Bond Fee on your bond deposit provides an optional way to increase the points you earn. This fee, detailed further in the Bond Fees section, brings about a bonus multiplier to your point tally for each specific bond. For every 1% of bond fee you set, you receive an active boost of 10% to the points for that bond.
In our example, applying a 20% bond fee results in a 200% bonus, effectively tripling (3x) the points awarded. Therefore, a bond worth 1 ETH would yield 3,000 points initially, plus an additional 300 points for every epoch the bond is held.
When combining both a Bond Period and Bond Fee with the stipulations provided, the total points earned from a 1 ETH deposit would initially be 1,000 (base) + 3,580 (for the Bond Period boost) + 2,000 (for the Bond Fee boost) = 6,580 points, alongside 658 points accruing per epoch. This synergistic effect of setting both parameters maximizes the rewards potential for bondholders.
Trading bonds within the Primis Protocol also offers a route to earning points. The principle here is straightforward: the more you engage in trading bonds, the more points you accumulate.
For each bond transaction, participants earn an additional 10 points for every .01 ETH in trading fees generated. Taking the example of a bond trade involving 1 ETH with a 1% trading fee, this would result in earning 10 points per trade, correlating to the .01 ETH of fees paid. It's crucial to note that points are awarded only when a creator fee is paid, emphasizing the importance of active participation in the trading ecosystem.
Furthermore, the opportunity to set and adjust the creator fee provides a flexible mechanism to potentially increase the points earned from trading based on the fees paid. This ensures that both the buyer and seller in each transaction are rewarded with points, fostering a vibrant trading environment within the protocol.