What is sFTMX?
sFTMX is a liquid token that users get when they stake FTM with Stader. The sFTMX tokens represent their staked FTM. They allow users to swap them at a later date for their staked FTM and accrued rewards with Stader. As the FTM rewards get added, the value of sFTMX increases. To illustrate the above explanation, here is a video. Meanwhile, users are able to use it on multiple protocols on Fantom to participate in Defi opportunities.
What are the top highlights of sFTMX?
- ~4.7%+ APY: sFTMx will deliver maximum staking rewards, typically reserved for 365 day lock-ins, while also allowing for instant liquidity on DEXs
- Max DeFi interoperability: sFTMx’s cToken design allows for easy integration with all types of DeFi protocols — from DEXs to Lending/ Borrowing protocols to Yield Optimizers (from vaults to auto-compounders to leveraged yield farming). This means the staking rewards are only the beginning of sFTMx’s potential.
- Decentralization: When you stake with Stader, your assets are automatically distributed across a carefully chosen set of validators. This furthers Fantom decentralization while minimizing slashing risks.
How can I get sFTMX?
Users can directly mint sFTMX on the Stader dapp. The dapp supports Metamask, Coinbase wallet, Wallet connect and OKX wallet.
Users can also swap to get sFTMX at top DEXs like Spookyswap, Spiritswap, Beethoven X.
Where can I use sFTMX?
We have worked on an extensive list of partnerships which support sFTMX. The spectrum of partners includes DEXs, yield farming, lending/borrowing and more. The following list of partners is live
- sFTMX liquidity pools on Spookyswap, Beethoven X and Spiritswap
- sFTMX yield farming on Liquid Driver, Reaper Farm, Beefy Finance
- sFTMX lending/borrowing on Market.xyz and Tarot
- Many more to come!
Has sFTMX been audited?
What is the sFTMX exchange rate and how does it change?
sFTMX exchange rate was initialized as 1 at the start of the contract. Every time staking rewards are added to the pool the sFTMX exchange rate will increase using the formula
When users stake FTM, they will mint sFTMx at the prevailing exchange. To illustrate the above formula, here is an illustrative video.
Is the sFTMX token automatically associated?
Yes, the Stader smart contracts associate sFTMX with the user wallet, whenever staking occurs.
How can I enter the amount of FTM to Stake?
You can manually enter the amount of FTM you would like to stake in the field provided. Please note that you must have enough FTM in balance to pay for the transaction
How is the sFTMX output amount calculated?
The output sFTMX is calculated as the FTM amount entered in the input field divided by the current sFTMX-FTM exchange rate.
What is the APY seen on the Stader Dapp?
The APY shown on the Stader Dapp is the annualized rate of rewards available via staking FTM tokens after auto-compounding of rewards and accounting for Stader protocol fees.
How long does it take to stake and unstake?
Users can stake immediately with Stader and mint liquid token sFTMX. Unstaking takes 7 days, in line with the unbounding period in staking on Fantom. Users can however get instant liquidity on DEXs by swapping their sFTMX for FTM
Can I unstake my FTM with Stader? Are there any penalties?
Users can get instant liquidity on DEXs including Spookyswap, Spiritswap and Beethoven X
Users can also unstake their FTM directly with Stader and receive their FTM after a 7 days unbounding period. We have created a ‘Free pool’, a dynamic reserve made up of new staking deposits, maturities, and accrued rewards that are held for ~5 days on average before being staked. This ‘Free pool’ will allow for penalty-free unstaking.
If a user’s unstake request exceeds the free pool, then a penalty would apply on unstaking which would make the FTM made available for withdrawal lower than what would be implied by the prevailing sFTMX-FTM exchange rate.
What fees does Stader charge?
Stader charges a 10% commission on staking rewards earned as protocol fees. This commission is never applied to your staked FTM and is only applicable on earned staking rewards.
Please note that the rewards APY on the dAPP is what will be received by users and already accounts for Stader’s protocol fees.
How does Stader select its validators?
Stader curates validators based on safety (no slashing history, community engagement, track-record), and performance (100% uptime). Also, given the design to provide high APY for users, we require validators to relock to 365 days on an ongoing basis at an agreed frequency leading to self-selection of long-term, committed validators.
Stader distributes stake received to the curated set of validators in a round robin manner leading to equitable distribution of delegations, subject to their maximum staking capacity (each validator can only take delegations upto a maximum of 15x their self-stake).
How is Stader secure?
Stader is a secure liquid staking solution. We do continuous review and testing of all code. We perform regular audits of smart contracts by external auditors. We use Multisig admin accounts for changing smart contract parameters.
What are the risks of staking with Stader?
There exist some risks when staking FTM using liquid staking protocols.
- Smart contract risk: Although the Stader code is thoroughly vetted and audited there exists a possibility of malicious users exploiting a vulnerability or a bug in the contract or the FTM platform
- Slashing risk: While Stader carefully selects and monitors validators, there exists a risk of one or more of the validators being slashed. Stader also automatically distributes staked assets across multiple validators and this minimizes slashing impact arising from the actions of any individual validator.
- Wallet and downstream apps: Wallets and third party apps may have to be used to access staking, users should evaluate the security of the wallets and other third party apps independently, Stader does not hold any responsibility for the security of the wallets or third party applications used in staking platform
The Stader team is committed to delivering the best and most secure staking experience for users.