SUMMIT and EVEREST are the primary tokens of the Summit DeFi ecosystem, it is earned through farming or by swapping.
We have designed the Summit ecosystem to give as much value as possible to the SUMMIT and EVEREST tokens, and will be continuing to add new features that bring additional value in the future.
The emission rate of SUMMIT is 0.05 / second. (~130k tokens a month. We view this as a reasonable amount of inflation for our yield farm). However, it will not always be 0.05, we will consider reducing it further into the token's life.
We will look to cap the Supply of SUMMIT at 8 million.
80% of the block rewards are distributed as farming rewards to pools
10% of the block rewards are sent to the Treasury.
10% of the block rewards are used for LP Generation.
Block rewards are subject to change, and will fall after a suitable amount of time to prevent runaway inflation if necessary.
Please note that any tokens that are distributed to team members are in reward for their work. Team members are free to sell tokens as they see fit, but have pledged to do so in a way that is NOT harmful to the project. Nobody works for free :)
Everest is our new token earned by locking up your SUMMIT, the longer you lockup the more Everest you earn. The minimum lockup period is 3 days and will earn you 0.1 Everest per SUMMIT locked up. The maximum lockup period is 1 year and will earn you 2.5 Everest for every SUMMIT locked up. EVEREST must be returned at the end of the lock period to unlock your SUMMIT.
You are able to compound both your available and locked SUMMIT yields into Everest without the penalty 50% tax, but this requires a minimum lockup of 30 Days. Compounding into Everest resets the lock to 30 days if your current lockup is less than 30 days at the time of compound.
You are now automatically entered into Expeditions by holding Everest (after choosing your deity) and your reward amounts are proportional to the amount of Everest you hold. Expeditions now pay out SUMMIT and USDC together. The SUMMIT will be market bought using the Expedition Treasury to create buy pressure and support price at key levels.
Also, EVEREST will be our DAO token allowing the community to feed into questions we ask the community when determining how to move SUMMIT forward.
SUMMIT is NOT a reflective token, however the ecosystem is designed to return value to the SUMMIT holders in a delayed fashion thanks to Expeditions.
Expeditions are funded with 60% of passthrough strategy rewards, 50% of Fairness-Tax and 50% of withdrawal fees (which fall over time). In practice, this means that users are given the opportunity to 're-earn' any fees they accrue through continuing to stake in the system.
Weak-handed users will exit Summit DeFi early, losing their ticket to large Expedition payouts. Despite their early exit, they have already seeded future Expeditions. Their staked funds will be put into passthrough strategies during their staking duration, and any deposit fees paid will also be contributed.
This gives the opportunity for other investors, those who outlast, to earn the delayed rewards of the previously mentioned weak-handed users.
By participating in the Expeditions, lasting EVEREST holders earn a disproportionally larger share of the passthrough strategy rewards and returned deposit fees that would otherwise have been earned by earlier exiting users.
Yield Multplier was designed with a sustainable SUMMIT token in mind. To increase the longevity of the SUMMIT token, higher elevation farms are given an allocation boost to incentivize users to move their staked tokens / LP to higher elevation. Higher elevations are mathematically guaranteed to always pay out more SUMMIT than lower elevations and oasis farms, even though they have a decreased chance of win. These features encourage a longer stay at a higher elevation to consistently break ahead of randomness.
For example: At the PLAINS, users can expect to win 50% of the time, meaning that after 2 rounds (4 hours total), users can reasonably expect to break ahead of OASIS farms. However, at the SUMMIT, users can only expect to win 10% of the time (though they can expect to win 10X), meaning that it will take 10 rounds (20 hours total) to reasonably expect to break ahead of OASIS farms. Of course these expected times to break ahead do not take into account the allocation boost, which will reduce these times.
All SUMMIT rewards paid out by farms feature Yield Locking. This means that although a user may have won a large sum of SUMMIT, those winnings will not become available immediately.
Yield earned requires 28 - 35 days to mature to become 100% claimable with zero penalty. You can claim rewards early before the lock matures however this will incur a 50% tax on the claimed amount. Of this taxed amount half (50%) is sent to the Expedition again to reward SUMMIT holders and the remaining half is Burned reducing SUMMIT supply.
Treasury funds will be used for the following purposes:
- Pay artists for assets and NFTs that will be created.
- Pay for audits of future contracts.
- Bug Bounty Payouts
- Hire moderators for TG and Discord.
- Given out as rewards for Twitter / Discord competitions.
- Boost vaults to spread awareness.
- Partnerships and expanding SUMMIT reach.
- Distributed to Summit Team.