🧾
Boosting Formula
What is the Boosting Formula?
By following the 3 steps below, we can arrive at the "shareOfVaultEmissions" that quantifies the % share of YOP emissions allocated to a particular depositor in a Vault.
1. 1.
Calculate a user's "boostedVaultBalance" using the following formula:
Where...
• userVaultBalance = Amount of tokens deposited into Vault by user
• totalVaultBalance = Total amount of tokens deposited into the Vault (TVL)
• userStakePower = Amount of YOP tokens locked by user x duration in months
• totalStakePower = Total amount of YOP Locked x Avg. duration in months
2. In order to derive a user's share of YOP emissions to the Vault, we must calculate the "boostedVaultBalance" for every single depositor in the Vault and sum these up to get the "boostedRewardPool" - as shown below:
Where...
• t = Total number of depositors in the Vault
3. Finally, after calculating the user's "boostedVaultBalance" and overall "boostedRewardPool", we can derive the % share of \$YOP emissions allocated to the user as follows:
The Boost Multiplier is an easy way of digesting how much more Reward APY a certain depositor is getting over the baseline (someone with no YOP Staked). The minimum is equivalent to x1 and the maximum is x10. We can calculate the Boost from the variables calculated in the above, as shown below: