Multiplier Points

Multiplier Points serve as a unique reward mechanism on KTX.Finance, tailored to provide long-term holders with benefits without contributing to inflation.

Introduction

When staking KTC tokens, users receive Multiplier Points every second at a fixed Annual Percentage Rate (APR) of 50%.

Each Multiplier Point earns the same amount of ETH/BNB rewards as a regular KTC token. This equivalency ensures that long-term holders utilizing Multiplier Points can earn a proportionate share of fee rewards over time.

If a user stakes 1000 KTC tokens for one year, they would receive 500 Multiplier Points at the fixed APR of 50%.

The Boost Percentage displayed on the Earn page represents the extra reward amount you will receive due to the Multiplier Points you have earned from staking KTC and esKTC.

KTX Earn Page

The “Boost Percentage” is calculated from the ratio of Multiplier Points to your total amount of staked $KTC:

Boost Percentage = 100 * (Multiplier Points) / (Staked $KTC + Staked $esKTC)

It's important to note that the Boost Percentage only applies to the ETH/BNB rewards earned from staking KTC and esKTC, not to the rewards earned from staking Multiplier Points themselves.

Staking Multiplier Points

Multiplier Points are automatically staked to earn fee rewards, offering users an additional avenue for increasing their returns. The "Compound" button on the Earn page facilitates this staking process.

KTX Earn Page

Burning Multiplier Points

For Multiplier Points to be in effeect, users must ensure that their $KTC and $esKTC tokens are staked. When unstaking KTC or esKTC tokens, the proportional amount of Multiplier Points is burned. This means that users must be careful when unstaking their tokens and should only do so when they are ready to convert them into $KTC tokens or withdraw them from the Vesting Vault.

📝 Example:

In the scenario where 1000 KTC is staked and 200 Multiplier Points have been earned so far, then unstaking 500 KTC would burn 100 Multiplier Points.

The burn will apply to the total amount of Multiplier Points which includes both staked and unstaked Multiplier Points.