First, let’s define some of the important components that will be used in this article:
Altrucoin Token: Altrucoin is a token on the Binance Smart Chain (BSC), launched as part of the Altruism Protocol. It can be found at 0xeDAF1F5B8078d4feb4E13c8d5A2c8dE1365be7b6
Altruvault Token: The Altruvault token is the native token used to power the Altruvaults application.
Altruvaults App: The Altruvaults application is a DeFi-as-a-Service platform that can add features such as staking to any BSC token.
Staking v2: Staking as a feature was originally released directly on the Altrucoin token in July 2021. Since then, several features have been added (explained below) and the staking has been moved to part of the Altruvaults application. Staking v2 is the vault for Altrucoin within the Altruvaults application.
Native Token: For this article, a native token refers to any token that directly comes as part of the Altruism Protocol. This includes Altrucoin and Altruvault.
Non-Native Token: For this article, a non-native token is any token that belongs to a project outside of the Altruism Protocol. These tokens may partner with or participate in the Altruvaults application, but were not developed by the Altruism Protocol team.
There are three main areas to look at for how the Altrucoin token interacts with the Altruvaults application.
External rewards pool boosting
Gas fee reduction
Existing features, such as reflections while staked, remain. You can find out more about those features in our article spotlighting staking v1.
External Rewards Pool Boosting
Both the Altrucoin token and the Altruvault token have a feature that no other token in the Altruvaults app has. In order for any person to add tokens to a vault, they have to meet one of two conditions. Either, they must be a coin holder of the Altruvault token, or they must pay a small entry fee (this is separate from any entry conditions that the non-native token contracts have). Both of the native tokens are exempt from this requirement.
A portion of this entry fee gets automatically added to the staking rewards pool for the Altrucoin and Altruvault tokens. This means that any activity by non-native tokens will boost the rewards pool, and thus the amount earned, for any Altrucoin or Altruvault token holders who are staked in those pools.
Gas Fee Reduction
The biggest issue that we ran into with staking v1 was the gas fees that were charged by the blockchain when there was a large amount of activity on the staking contract. We have reworked the contract to reduce those fees, making it easier for holders to join and start earning.
One of the biggest causes of the gas fees was the large amount of computations and verifications that had to happen any time there was a transaction. This is because each person essentially had 11 calculations that had to happen any time the vault was updated, whether from joining, leaving, manual update, or rewards distribution. Each pool for locking counted as its own separate calculation.
When looking over the usage in staking v1, the team noticed that the vast majority of holders were using two timeframes of locking. One would be unlocked, allowing them to remove the tokens at any time in case they wanted to use the tokens. The other would be the amount of time that they wanted to lock that pool of tokens, such as 10 weeks. The percentage of holders that were using more than these two pools was exceedingly small. As such, we were able to consolidate the pools from eleven down to two. You can read more about those pools and how they work in the New Features section.
So what is new for Altrucoin token holders going from staking v1 to staking v2 (Altruvaults)?
The rewards pool funding has been expanded, both to help holders from staking v1 to move over, as well as to incentivize new holders to join. As mentioned above, every transaction from a non-native token will contribute to the rewards pool of Altrucoin and Altruvault. Combined with the entry and exit fee from the native vaults according to their tokenomics, the rewards vault is sure to be paying out to all Altrucoin holders.
As mentioned in the Gas Fee Reduction section, the majority of users only had two pools of tokens staked — one unlocked, and one locked for the desired amount of time. We have staking system so that you can still have one pool of unlocked tokens, as well as one locked pool. However, we have changed the locked pool so that holders have more control over how long they want to lock for. Whereas in staking v1 users had to lock in intervals of one week, they can now use the slider to choose how many days they want to lock for. You can find out more about how locking works in our full Altruvaults Medium explanation article.
With the addition of the Altruvaults smart contract, it also gives extra flexibility. While Altrucoin already had many of the cutting edge features that Altruvaults offers to BSC tokens, the integration allows holders to determine if they want any new features in Altrucoin. Any feature that is put on Altruvaults can be easily implemented into Altrucoin.
Additionally, WalletConnect will be used, allowing holders to easily connect through any web3 application to stake tokens.