Staking tutorial
Last updated
Last updated
Staking involves 3 steps:
Go to the TANGO/wstETH pool on Balancer and provide liquidity, with either one or both tokens.
You’ll receive a receipt token called 20wstETH-80TANGO, that we decided to call CBPT (Contango Balancer Pool Token) for simplicity.
Go on Contango and stake your CBPT for the duration you like.
Depending on the amount and duration, you’ll get credited an amount of veCBPT. This is credited on the UI, not in your wallet.
It’s important to understand that:
veCBPT decays linearly over time, just like other veTokens in DeFi. Although veCBPT won’t have a voting mechanism at the start, we opted for the veCBPT naming because of its similarities with other veToken designs.
The staking contract (the same as Balancer) computes your share of total veCBPT during a week. On the midnight between Wednesday and Thursday at 00:00 UTC a new week starts. You need to stake for a full week to be eligible for receiving protocol fees.
Staking duration is always rounded down to the nearest Thursday of the selected duration.
Money sent to the rewards contract on week N will be claimable on week N + 1. in other words, the first week of staking is not taken into account for fees distribution, so staking on Thursday at 00:01 UTC or on the following Wednesday at 23:59 makes no difference.
Balances at the beginning of each epoch are being considered when distributing rewards via the staking contract, so if you wanna maximise your share, extending the lock period every Wednesday should do the trick.
You can add to your existing share by staking more CBPT via the ticket on the right and, for the time being, it will have the same duration as your first stake.
You can also extend your lock duration by using the “Extend” option (coming soon).
Protocol fees will be distributed weekly according to the share of veCBPT, through a basket of blue-chip currencies (e.g. ETH, USDC). This basket will eventually be optimized over time to minimize swapping and bridging costs, since Contango collects fees at the UI level in a wide variety of currencies and chains. Using Contango through its smart contracts is free.
The first distribution will happen in 2-3 weeks so, at start, the shortest staking duration is 3 months, to allow stakers to receive fees before this period ends. Shorter durations will be added later.
Fees will be distributed on Arbitrum.
Once fees are distributed, you can claim your share directly on the UI.
