FAQ stNEAR token
stNEAR token means staked-NEAR, is the NEP-141 token this contract manages, representing your share of the MetaPool stake. After staking, you can use your stNEAR in other markets while still earning rewards.
Each epoch, the stNEAR tokens price will increase as staking-rewards are added to the pool. stNEAR tokens price will always increase as long as there are staking rewards.
stNEAR token is a perfect collateral asset in the NEAR ecosystem, because its price increments every epoch measured in NEAR.
The main difference is the amount of validator nodes you are delegating your staked NEAR. When you stake in Meta Pool we are distributing your staked NEAR into 95 validator nodes. This helps decentralise the network and allows new nodes coming into the NEAR Protocol network to get more exposure to retail NEAR.
If you decide to stake through the NEAR web wallet, you are staking to only 1 validator node that you choose in the list of validator nodes you see. You can only stake to 1 validator, this creates that most of the NEAR being staked is in the top ten nodes on the network. Concentration of NEAR is not the best outcome if we want to improve censorship resistance and security of the NEAR network.
stNEAR represent your staked NEAR, Meta Pool is arranging more uses in the NEAR ecosystem as providing liquidity for Meta Pool and lending and borrowing protocols as well as collateral, in Liquidity Pools, in Farms, to fund projects on NEAR on the Meta Yield platform, etc.
The first use you can do is provide liquidity to ref.finance pool of stNEAR/wNEAR with Meta Recipes.
stNEAR token's value increase its value corresponding the rewards earned by Meta Pool staking from validators. You can see the change in value of stNEAR tokens at the beggining of every epoch.
For example, you change tokens when the value of 1 stNEAR is 1,06 $NEAR. With this ratio, by exchanging 10 $NEAR tokens, you get 9,434 stNEAR tokens. Since the value of stNEAR in relation to $NEAR is constantly increasing, after a while having 9,434 stNEAR you will get more $NEAR tokens.
Let’s say the stNEAR: $NEAR ratio has increased and now 1 stNEAR equivalent to 1,08 $NEAR. This means that now, your 9,434 stNEAR are worth 10,19 $NEAR (9,434*1,08 = 10,19). We have created a blog to help you: "A Guide to stNEAR and Liquid Staking $NEAR native token"
An epoch is the interval of time that consists of several consensus rounds. Note that there is no guarantee of the exact number of consensus rounds. Currently, one epoch lasts for about the duration of half a day(~10-14 hours).
If you trade stNEAR for DEX AMM (Ref Finance on NEAR, Trisolaris on Aurora) or sell anywhere else you will no longer own your staked $NEAR.
The Meta Pool protocol represents your staking NEAR (stNEAR) into an available for use in the ecosystem, transferable and tradable asset, but if you trade it means you are trading one asset to another it means the same you are selling your current staked $NEAR and any future rewards.
Have a look at our tutorial How to Unstake stNEAR for NEAR Network or you can use Liquid Unstake in Aurora Network on Meta Pool platform.
- 1.The users deposit their NEAR tokens on the Meta Pool vault, immediately after they start earning rewards of ±11% for staking in the protocol.
- 2.Once deposit $NEAR in Meta Pool, the users receive the equivalent value in the stNEAR token, as proof of their staked balance that can be used on the NEAR DeFi Ecosystem.
- 3.Go to Ref Finance, deposit stNEAR and $META in a Liquidity Pool (LP) to start earning a % from the commision for every swap of stNEAR/$META.
- 4.Deposit your LP tokens of stNEAR/$META in the farm stNEAR/$META to earn additional rewards in $META and $REF.
- 5.You can claim your rewards from Farming and take your deposited tokens at any moment with no restrictions.
- 6.Checks your amount rewards in your farm pool on Ref Finance
Is there any difference between staked $NEAR in Meta Pool and wNEAR on REF Finance? What are the benefits of adding $NEAR into Meta Pool?
- The main difference is that stNEAR is accruing in value every 10-12 hours, since the asset represents NEAR being staked.
- wNEAR is $NEAR bridged through the Aurora Network and it was used to bootstrap liquidity for DEXs and AMMs on NEAR. But that asset is not capital efficient because it is not earning the extra yield that a PoS token such as NEAR was designed for.
That is why we have created Meta Recipes, which will allow any wNEAR token holder that has LP* tokens on farms in NEAR and Aurora, to unbundle their assets and migrate their wNEAR to stNEAR with just a few clicks. This is now available for LP tokens in the $OCT<>wNEAR to migrate to the farm $OCT <> stNEAR - more about Meta Recipes and Octopus Network.
* LP tokens represent the user's share of the total amount of locked liquidity in several tokens (usually two tokens, such as stNEAR and $OCT).
stNEAR is not a rebase or elastic token.
The Meta Pool smart contract controls the price of stNEAR, making a calculation of the NEAR Rewards assigned to the total amount of NEAR in the Staking Pool contract. The reward is calculated every epoch. So if there is less/more NEAR being delegated the price is recalculated every epoch.
Meta Pool does not send the NEAR staking rewards as stNEAR to the users. Users staking NEAR with Meta Pool have to unstake their stNEAR to get their NEAR+staking rewards back with Meta Pool they unstake immediately or wait the normal ~62 hours to get their NEAR back+rewards
Most importantly is that the Meta Pool contract is non-custodial.
You are always in control of your tokens!