Staking
1. What is the ETH:ETHx exchange rate, and how does it change?
The exchange rate symbolizes the total value of the Stader stake pool for each circulating ETHx token. Exchange rate = Total ETH in Stake Pool / ETHx in Circulation
Initially, the ETHx exchange rate is set to 1:1. As rewards accumulate in the pool, the ETHx:ETH exchange rate increases. Exchange rate (after rewards) = Exchange rate (before rewards) + (Rewards Added / ETHx in Circulation)
Therefore, the exchange rate evolves as more rewards are added, directly impacting the value of each ETHx token in terms of ETH.
Let's consider a scenario to illustrate this concept: Suppose, at the time of staking, there are 1000 ETH in the Stake Pool and 1000 ETHx in circulation, setting the initial exchange rate at 1 (1000 ETH / 1000 ETHx = 1).
Now, after some time, network rewards result in an additional 100 ETH being added to the Stake Pool. The Stake Pool now holds 1100 ETH, while the circulating ETHx remains at 1000.
We calculate the new exchange rate as follows: Exchange rate (after rewards) = Exchange rate (before rewards) + (Rewards Added / ETHx in Circulation) = 1 + (100 ETH / 1000 ETHx) = 1 + 0.1 = 1.1
Thus, the new ETHx:ETH exchange rate becomes 1.1, indicating that each ETHx token now represents 1.1 ETH. Therefore, even if you initially staked 1 ETH (and received 1 ETHx in return), when you decide to unstake, your 1 ETHx would be exchanged for 1.1 ETH, accounting for the rewards added to the Stake Pool.
2. What is the minimum and maximum amount of Ethereum I can stake?
The minimum stake value is 0.0001 ETH. There is no upper limit on the amount of ETH which you can stake.
3. What is the gas fee, and how much does it amount to?
Gas fee is the transaction costs incurred on the Ethereum network. It compensate for the validators tasks to process and validate transactions. The exact gas fee varies based on network congestion and complexity of the transaction.
4. How can I add ETHx tokens to my wallet?
To add ETHx tokens in your wallet, you need to follow a simple process on the Stader dApp. Simply click on the "Add ETHx" option. Upon clicking, a confirmation request will be generated in your wallet. Once you confirm this action, the ETHx tokens will be successfully added to your wallet.
5. How many ETHx tokens do I receive after staking my ETH?
The amount of ETHx you receive is dependent on the amount of ETH you stake and the current ETH to ETHx exchange rate.
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