Rewards Boost

Vine Money incorporates a rewards boost system, designed to amplify rewards for users actively participating in the platform’s governance through VINE token staking. This mechanism plays a significant role in incentivizing long-term commitment and active engagement in the ecosystem.

Understanding Rewards Boost

• Eligibility for Boost: Users who have staked and locked their VINE tokens as veVINE gain a lock weight that makes them eligible for enhanced emissions.

• Boost Calculation: The boost is essentially a multiplier on the rewards that users can claim, based on the proportion of their locked veVINE weight.

• Claiming Rewards: At launch, rewards are locked for 26 weeks, reducing by one every two weeks, reaching 0 one year after launch. Users may pay a withdrawal fee to exit their locks early.

Boost Calculation Mechanism

• Calculating Rewards Boost: The maximum boost multiplier is typically set at 2x, meaning a user can earn rewards at double the rate of an un-boosted user.

$$\text{User Boost Rate} = \min\left(\frac{\text{User’s Locked VINE Weight}}{\text{Total Locked VINE Weight}}, 1\right) \times \text{Boost Multiplier}$$

• Decay of Boost Rate: As a user's weekly claims exceed the amount permissible under maximum boost, the rate decays linearly from the maximum multiplier to 1x.

• Recalculation: Boost rates are recalculated at the start of each week, refreshing the user’s potential to earn maximum rewards based on their updated lock weight.

Boost Delegation and Technical Aspects

• Delegation of Boost: Users with significant lock weight can delegate their boost capability to others, setting a fee structure for the use of their boost. This delegation can involve complex mechanics like callbacks for additional functionalities.

• Technical Considerations: The boost system is designed to maximize the distribution of rewards, and undistributed rewards due to reduced boost rates are returned to the unallocated token supply for future distribution and a more sustainable emissions structure.