Staking

Staking is the primary value accrual strategy of INDI. Stakers stake their INDIon the IndianaDoge website to earn rebase rewards. The rebase rewards come from the proceed from bond sales, and can vary based on the number of INDI staked in the protocol and the reward rate set by monetary policy.

Staking is a passive, long-term strategy. The increase in your stake of INDI translates into a constantly falling cost basis converging on zero. This means even if the market price of INDI drops below your initial purchase price, given a long enough staking period, the increase in your INDI balance should eventually outpace the fall in price.

When you stake, you lock INDI and receive an equal amount of sIndiana. Your sINDI balance rebases up automatically at the end of every epoch. sINDI is transferable and therefore composable with other DeFi protocols.

When you unstake, you burn sINDI and receive an equal amount of INDI. Unstaking means the user will forfeit the upcoming rebase reward. Note that the forfeited reward is only applicable to the unstaked amount; the remaining staked INDI (if any) will continue to receive rebase rewards.