stBFG is a “wrapped” BFG token that allows you to get increased APR in Staking - twice the APR than users who stake regular BFG.
stBFG is an internal token of the platform, which has the same qualities as a regular BFG token, except that stBFG cannot be withdrawn from the platform and it does not available for CryptoSwap. That is, stBFG cannot be exchanged for any other token, it can only be exchanged for BFG in the conversion block on the Staking page.
When you convert your BFG tokens to stBFGs, the BFGs lock for one year. After the period is over, the you must unlock the tokens manually on the Staking page. Funds will not be unlocked automatically.
If the conversion takes place earlier than 1 year (365 days), you will be charged a fee of 50% for early withdrawal. If, at the time of conversion, one full year has already passed, the user can exchange his stBFG for a one-to-one BFG.
Unlike the users, the team locks their tokens for 3 years.
Rewards for BFG and stBFG holders will be taken from the current staking pool. Therefore, 3% from the total staking pool will now be distributed between BFG and stBFG holders. When it comes to rewards distribution, stBFG holders will be enjoying x2 APR.
Lock and unlock mechanics
Each swap is a separate transaction with a separate year-lock period.
Let's look at how the lock mechanics work in detail.
For example:
The user exchanged 100,000 BFG for 100,000 stBFG on 12/03/2024, accordingly, these 100,000 stBFG will be unlocked on 12/03/2025.
Let's assume that the user used these stBFGs for gambling:
He bets 50,000 stBFG and loses it. In this case, his balance of locked tokens remains 100,000 stBFG (as that’s the amount he swapped) and it will be unlocked on 12/03//2025 as previously discussed.
After a couple of days, the user comes back to the platform and bets 50,000 stBFG again and wins 200,000 stBFG. After this win, his balance in stBFG becomes 200,000 stBFG.
In order to calculate the number of tokens that can be exchanged without a fee, we need to determine the difference between the number of stBFG that are on the user's game balance and the amount of tokens that were converted to stBFG. If this amount is positive, the user can exchange this difference in BFG without commission.
Taking into account the user's last win of 200,000 stBFG, we understand that he has 200,000 stBFG on his game balance. Total converted BFG to stBFG is 100,000. Based on this, we allow the user to exchange 100,000 stBFG to BFG without commission.
Let's assume that the user did nothing after the last win and after a couple of days (15.03.2025) changed another 200,000 BFG to 200,000 stBFG. In this case, the amount of converted tokens was 400,000.
Taking into account this conversion, we understand that the user has 400,000 stBFG on the game balance. The total amount of BFG converted to stBFG is 300,000. Based on this, we allow the user to exchange 100,000 stBFG to BFG without commission.
100,000 stBFG (his first swap) will be unlocked on 12.03.2025 and another 200,000 stBFG (second swap) will be unlocked on 15.03.2025
If the user loses all his swapped stBFG, after the lock period ends, there will be nothing to unlock anymore as the funds are lost. In this case, those locked BFG tokens will be burned.
How Are the Rewards Calculated?
Let’s take an example when a daily distribution from the staking pool is $50,000 and there are three users in the pool.
· User 1: 100 BFG
· User 2: 1,000.00 BFG
· User 3: 750 stBFG
To calculate the rewards per user, we initially need to determine the number of tokens in the pool. stBFG is counted with a coefficient of x2. Therefore, the number of tokens in the staking pool = 100 + 1000 + (750 x 2) = 2,600. In this case, each token is entitled to $19.23 ($50,000 / 2600). The rewards will be distributed as follows:
· User 1: 100 x $19.23 = $1,923.08
· User 2: 1,000.00 x $19.23 = $19,230.77
· User 3: (750 x 2) x $19.23 = $28,846.15
· Total: $50,000.00