Design Overview

vMRHB, Reward distribution, APR’s, Utilities & Tier structure and more...

vMRHB is essentially just an arbitrary value contained in the smart contract that represents a user’s voting power. It is derived by multiplying the MRHB amount to be staked by a time specific coefficient.

We will allow users to lock MRHB for 13 weeks, 26 weeks, 52 weeks and 104 weeks. A user will lock their MRHB and receive the following coefficients for the specific time periods:

• 13 weeks: Coefficient of 0.1

• 26 weeks: Coefficient of 0.21

• 52 weeks: Coefficient of 0.45

• 104 weeks: Coefficient of 1

Each balance of MRHB locked will be multiplied by its relevant coefficient to deduce a vMRHB balance, which is in essence the users voting power and weighted value used to calculate their pro-rata share of the Ju’alah voting rewards (MRHB emissions).

$$vMRHB = MRHB * Coefficient$$

The idea is that all vMRHB balances will decrease weekly in a linear distribution until the user’s stake reaches expiry. A user with 1000 MRHB staked for a 104-week period will have a starting vMRHB balance of 1000 that will decrease linearly until it reaches close to zero in week 104. (We will explain the reasoning behind this in later sections).

$$vMRHB_{ws} = vMRHB_{principle} * (1 - \frac{w}{s})$$

Where vMRHB Principle is the initial vMRHB balance of the user at week 0.

Where (S) is the user’s staking period in weeks.

Where (w) is the week (1 <= w <= S).

Example

For example, user (A) who has staked 1000 MRHB with a staking period of 52 weeks has a vMRHB balance of 450 vMRHB. By the time the user approaches 26 weeks into his stake period he should in theory have the same vMRHB as user (B) who has just started staking 1000 MRHB for 26 weeks. However, he will still have a slightly higher vMRHB balance even though both users have the same principal and staking period. User (A) will have a vMRHB balance of 225 whereas user (B) will have a vMRHB balance of 210. This is to reward those users who stake for longer. The difference is not colossal and still ensures fairness in voting power and reward distributions for any Ju’alah activity.

Any single user can only have one stake per wallet meaning that no one wallet can have more than an amount of MRHB staked for a certain time period.

For example, if a user has X amount of MRHB staked for Y time period, they cannot initiate a new stake with a different amount of MRHB and a new time lock/time to expiry.