🥩SEAM Staking (stkSEAM)

🎉SEAM Staking is now live! Users can choose to stake their SEAM to obtain stkSEAM and earn protocol revenue and rewards, while helping to secure the protocol.

Users can access SEAM Staking here in the Seamless App: Staking Link

SEAM utility is here.

FAQs

What are the benefits of staking?

By staking SEAM, you are contributing to the security of Seamless's protocol and accruing "real yield" rewards from protocol fees (100% of protocol fees are directed to stakers). Currently, the assets included in protocol fee capture are smcbBTC, smETH and smUSDC, this list may change overtime. Additionally, stakers accrue any SEAM or esSEAM rewards DAO governance votes to emit to stakers.

By staking, how much protocol fees/rewards can I expect?

100% of protocol fees are directed to stakers + any additional SEAM or esSEAM rewards DAO governance votes to emit to stakers. The amount of daily protocol fees and rewards you earn will be proportional to the amount you stake relative to how much total SEAM is staked. Ex. if you are staking 10,000 SEAM and 3,000,000 SEAM is being staked on any given day, You would earn roughly .333% of the total protocol revenue generated that day.

Note: By claiming protocol fees, you will receive Seamless USDC/cbBTC/WETH Vault LP Tokens on Morpho (which continue to yield). Upon claiming, these positions will be added to your wallet and will show up as balances on the Seamless Vaults Tab. From there, you can choose to either keep these positions deposited (yielding) or withdraw fully.

How often can I claim staking rewards?

Rewards from Seamless Protocol Fees will be claimable block by block. You can routinely check and claim your staking rewards directly in the Seamless App.

How do I unstake SEAM?

Once SEAM has been staked, users can initiate the unstaking of SEAM at any time.

Unstaking is a two step process:

Step 1: Initiate your unstaking 7-day cooldown period, and wait the 7 days.

Step 2: After the 7 day cooldown expires, you can unstake your SEAM within a 24 hour window

What happens after the 7-day cooldown expires?

After the cooldown finishes, you will have a 24-hour window to actually unstake. Note: If you do not complete the unstake within those 24 hours, the 7 day cooldown resets and you will need to initiate it again.

Do you continue to earn staking rewards during the unstake cooldown period?

Yes.

Why is there a cooldown period and unstaking windows?

Consistent with the slashing FAQ below, If there was any hack/exploit against the protocol, staked funds act as a first line of defense to recoup any losses. Since the Seamless Safety Module would need to access staked fund in this event, there are more rigid unstake and cooldown periods to ensure there is adequate liquidity and fairness in the system for those who choose to stake.

What does it mean to be “slashed”?

When you stake SEAM, a portion of your funds can be used to cover protocol losses during a "catastrophic" event (such as a hack/exploit). Funds staked within the Staking Safety Module could be utilized at the discretion of Seamless governance (i.e. dependent on community discussions and voting). This mechanism is called slashing. While it’s a rare event, it’s important to understand that by staking, you are taking on some protocol risk.