Get all the info you need to start staking, earning rewards and entering the world’s first no-loss prize games on Algorand — right here.
The basics of the ALGO No-loss Prize Games
How do Yieldly’s no-loss prize games work and what are the rewards?
Each week Yieldly will run one no-loss prize games draw.
The premier draw will be Friday 11 June 2021, 10:00AM Singapore time (GMT+8). The next draw will be held exactly 7 days later.
Staking for one week allows both ALGO and YLDY rewards to accrue for the ultimate winner and prevents people sniping in the last minute before the draw.
How the no-loss prize game works, in steps:
- Stake ALGO into Yieldly’s no-loss prize game smart contracts (which have recently been successfully audited by Halborn );
- You will receive one ticket for each ALGO you stake and keep in the no-loss prize game;
- ALGO staked into the no-loss prize game accrues ALGO rewards, just like any normal ALGO account would. Yieldly designates these ALGO rewards to form the ALGO prize pool .
- Every week, Chainlink’s VRF random number selector will choose a winner at random. The winner is rewarded with 85% of the ALGO prize pool. This reward is automatically distributed to the winner’s wallet. The other 15% of the ALGO prize pool is distributed to folks staking YLDY.
- Everyone staking ALGOs will be rewarded with YLDY. You can claim this reward from the web app after the first draw on 11 June.
How is this premier draw unique?
YLDY rewards will typically accrue from the moment a user stakes ALGO. However, for this premier prize game, YLDY rewards will not show up in user accounts until after the first draw on 11 June. On 11 June, you will receive your accrued daily rewards in one go. From 11 June onwards, YLDY rewards will accrue daily to users staking ALGO.
How do I get started?
First you will need a My Algo Wallet. We use My Algo Wallet because they support the functionality we deemed critical for the best possible user experience with our product.
My Algo Wallet set up instructions ->here
What are the odds of winning?
Our app will dynamically update to let you know the odds.
The odds are a fair function of the ALGO you stake versus how much total ALGO has been staked.
When the winner is drawn, a Chainlink VRF random number will select 1 wallet that has staked ALGO into the pool.
From 11 June onwards (i.e. after the premier draw is concluded), ALGO must be staked for a minimum of one week. This is to avoid people sniping at the last minute and depositing a large allocation of ALGO prior to a draw.
Users can withdraw their staked ALGOs at any time.
When are the ALGO prize game prizes distributed and how are they announced?
The ALGO prize pool winner is drawn once every week. You will automatically be entered into the no-loss prize game if you have ALGO staked.
How is the prize generated?
- 85% of the prize pool is distributed to the no-loss prize game winner; and
- 15% of the prize pool is distributed to users staking YLDY (more on that below).
How do we know the winner is truly randomly selected?
Yieldly’s smart contract implements a cross-chain method to use a random number from Chainlink VRF (Verifiable Random Function). It’s a provably-fair and verifiable source of randomness designed for smart contracts.
How can I increase my chances of winning? Why stake for longer? Can I withdraw my ALGO?
Yes, you can withdraw the ALGO you have staked at any time. If you do, two things happen:
- 85% of the prize pool is distributed to the no-loss prize game winner; and
- 15% of the prize pool is distributed to users staking YLDY.
User rewards? Will I also receive the standard ALGO participation reward? If I do not withdraw ALGO, do I go into the next prize game round automatically? If I withdraw Algo before the draw, do I still get my YLDY rewards?
The Basics of YLDY Staking
How YLDY staking works and what can you earn
How the YLDY staking pool works, in steps:
- Stake YLDY in Yieldly’s ASA staking smart contracts (that have recently been successfully audited by Halborn). You can withdraw your YLDY at any time.
- Everyone who stakes YLDY is rewarded with both YLDY and ALGO. The YLDY rewards come from the YLDY staking rewards reserve, which are distributed to users staking YLDY. The ALGO rewards come from the ALGO prize pool, where 15% of the ALGO prize pool is distributed to users staking YLDY.
YLDY Rewards
How are we calculating the rewards?
21 million YLDY will be distributed next week as rewards
YLDY has a staking rewards reserve of 3,000,000,000 YLDY.
After each prize game period, 0.7% of the total amount of YLDY in the staking rewards reserve will be sent to the rewards contract. The initial amount distributed will be 21,000,000 YLDY. The staking rewards reserve has been designed for the long term and will be in existence for a minimum of 7 years.
This staking rewards reserve YLDY will be distributed as rewards to those staking ALGO in the no-loss prize game and staking YLDY in the staking pools.
- 40% to users staking ALGO in the no-loss prize game; and
- 60% to users staking YLDY.
For this week (5–11 June), this means:
- users staking ALGO in the no-loss prize game will be distributed a share of 8,400,000 YLDY rewards; and
- users staking YLDY in the YLDY staking pool will earn a share of 12,600,000 YLDY.
A fair-time staking algorithm is hardcoded into the smart contracts to determine the rate with which users accrue rewards.
We hope this blog has provided all the information you need to participate in our premier, and subsequent, lotteries and staking pools!
Please keep up to date with our latest updates by joining our telegram group: t.me/yieldly
Originally published at https://yieldly.finance on June 6, 2021.
