Andromeda Announces New Staking Module with Attractive APR Targets

Andromeda Protocol is thrilled to announce the launch of their highly anticipated staking module, designed to provide the community with governance over maintaining a competitive and effective Annual Percentage Rate (APR) on their staked tokens. This innovative staking module is part of Andromeda’s ongoing efforts to enhance value and strengthen the community's engagement within its token ecosystem.

Flexible APR Based on Circulating Supply

At the heart of Andromeda's staking module is a dynamic APR system that adjusts based on the percentage of the token's circulating supply that is staked. 

Subject to Community Governance Approval, the initiative aims for an effective APR ranging between 14% and 19% when 30-40% of the circulating supply is staked. The APR structure is designed to incentivize broader participation in the ecosystem by offering higher rates for lower staking volumes, reaching up to a 59% effective APR when only 10% of the circulating supply is staked, and tapering down to a 7% APR when the staking reaches 80% of the supply.

Staking Terms and Reward Mechanisms

To maintain the integrity and stability of the staking ecosystem, validators on Andromeda have implemented a 21-day lockup period for all staked tokens. This measure ensures a steady platform that benefits all stakeholders.

Financial sustainability and reward distribution are central to the protocol’s staking strategy. The Andromeda Community can periodically replenish the Staking Rewards Token Pool from the DAO Treasury through a DAO proposal and governance vote.

Furthermore, the DAO is authorized to make adjustments to the Staking Rewards Drip Rate, ensuring that changes receive appropriate community approval.

Innovations on the Horizon: Liquid Staking Derivatives

Looking ahead, Andromeda Protocol is soon to launch the next phase of its staking evolution, including introducing the first part of Liquid Staking Andromeda called $stANDR.

$stANDR will represent the deposited $ANDR and its staking rewards. This gives our community greater flexibility with staked assets, providing new liquidity/DeFi opportunities, and reinforcing Andromeda’s commitment to innovation.

For more information about Andromeda Protocol and its staking module, please visit www.andromedaprotocol.io or contact Abigail Nix, CMO at Andromeda Labs.

About Andromeda

Andromeda is an all On-Chain and Multi-Chain suite of products, tools, and utilities enabled by a decentralized Operating System called aOS, or Andromeda Operating System. A decentralized operating system is a missing piece of infrastructure for Web3 decentralized blockchain. 

aOS is where #web3 starts. 

Disclaimer

The material provided herein is for informational purposes only and should not be construed as business, financial, investment, trading, legal, tax, regulatory, or accounting advice. 

Andromeda and its partners are new and experimental technologies. Any information provided by Andromeda is subject to and limited by the Andromeda disclaimers, which you should review before interacting with the protocol.