GAMMA Token
An overview of the GAMMA token and staking features
The GAMMA token is a financial instrument that exposes the token owner to profit from liquidity pools instead of directly providing liquidity.
Rather than providing liquidity directly into Gamma pools and accruing fees from the selected pools, GAMMA stakers earn a percentage of the fees accrued in all of the pools Gamma manages. This is an excellent way to diversify your holdings and reduce risk, particularly if you are a novice at using liquidity pools.
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xGAMMA is the staking token and backbone of value accrual for GAMMA.
Rather than pay large gas fees to distribute the accumulated fees to each individual staker, these fees are accumulated in a pool, of which stakers own a percentage share. When users stake their GAMMA, they will receive xGAMMA, representing their share of the staking pool.
This distributed GAMMA is purchased on the open market and is NOT inflationary.
The GAMMA staking mechanism does not increase the total or circulating supply of GAMMA.
Because of the accumulated fees, xGAMMA will always be worth more than GAMMA.
Example: User A has 10,000 GAMMA. They deposit their GAMMA into the staking portal and receive 9,346 xGAMMA. That means the value of xGAMMA to GAMMA is 1.07 to 1.00. They stay for some time and accrue fees until the value of xGAMMA to GAMMA rises to 1.25 to 1.00. If they exit the pool now, they will have 11,685 GAMMA. That rise would be due fees.
A user's xGAMMA quantity will not increase unless they deposit more GAMMA. The value of xGAMMA relative to GAMMA will increase over time as fees accumulate.
There is no official liquidity pool for xGAMMA to be traded directly at this time.
Last modified 5h ago