Staking

Staking Mechanics

To be eligible for GameChain rewards through an active Game Node, validators must stake $GAME tokens, with the minimum and maximum amounts set at 500 and 5,000 $GAME tokens, respectively.

The staking system allocates rewards based on the stakers relative share within the pool. Essentially, the more points you accumulate, the larger the portion of rewards you will receive from the total amount allocated for GameChain rewards.

Staking Levels

The system is divided into 10 staking levels, each level giving different amount of points. For instance, staking 2,001 tokens places you in level five, providing a weight of 5 points in the GameChain rewards pool.

The staking levels are outlined as follows:

Levels	$GAME Staked	Points
Level 1	500	1
Level 2	1000	2
Level 3	1500	3
Level 4	2000	4
Level 5	2500	5
Level 6	3000	6
Level 7	3500	7
Level 8	4000	8
Level 9	4500	9
Level 10	5000	10

Time Lock Boost

Tokens can also be staked for predefined periods of time, which increases their weight allocation in the GameChain reward pool due to a staking boost.

The five different time locks available are as follows:

Time Lock	Boost
1 Month	No boost
3 Months	1.25x
6 Months	1.5x
12 Months	2x
24 Months	3x

Once the lock-up period ends, the tokens remain staked, continuing to benefit from the multiplier. They will keep accumulating rewards until they are unstaked and withdrawn from the Game Node.

Graduated Early Unstaking

We want to maintain the flexibility for people to unstake their tokens if there is suddenly a significant need to do so. This, of course, comes at the cost of a gradually decreasing penalty percentage that decreases each month, depending on the selected lock period.

The penalty table:

Time Lock (M)	1M Penalty	3M Penalty	6M Penalty	12M Penalty	24M Penalty
1	10%	50%	50%	50%	50%
2	-	22%	36%	43%	47%
3	-	10%	26%	37%	43%
4	-	-	19%	32%	41%
5	-	-	14%	28%	38%
6	-	-	10%	24%	35%
7	-	-	-	21%	33%
8	-	-	-	18%	31%
9	-	-	-	16%	29%
10	-	-	-	13%	27%
11	-	-	-	12%	25%
12	-	-	-	10%	23%
13	-	-	-	-	22%
14	-	-	-	-	20%
15	-	-	-	-	19%
16	-	-	-	-	18%
17	-	-	-	-	16%
18	-	-	-	-	15%
19	-	-	-	-	14%
20	-	-	-	-	13%
21	-	-	-	-	12%
22	-	-	-	-	12%
23	-	-	-	-	11%
24	-	-	-	-	10%

Example of early unstaking:

Staker 1

A user chose a 12-month lock-up period and decided to unstake at month 6. He will be taxed 24% on the tokens he staked to do so.

Staker 2

A user chose a 24-month lock-up period and decided to unstake at month 13. He will be taxed 22% on the tokens he staked to do so.

By implementing a graduated penalty system, the staking model can maintain its effectiveness and attractiveness, ensuring that while early unstaking is available for those in need, it remains a carefully weighed decision.