Using Staking
How to stake tokens and earn rewards as a token holder
Using Staking
This guide explains how token holders can stake their tokens, earn rewards, and participate in governance through the staking system.
Getting Started
Prerequisites
Before staking, you'll need:
- Governance Tokens - LUX or your DAO's token
- Connected Wallet - MetaMask, WalletConnect, etc.
- Native Token for Gas - ETH, LUX, etc. for transaction fees
Accessing the Staking Page
- Go to your DAO's dashboard
- Click Staking in the navigation
- Connect your wallet if not already connected
Staking Your Tokens
Step 1: Choose Lock Duration
Select how long to lock your tokens:
┌─────────────────────────────────────────────────────────────┐
│ Select Lock Duration │
├─────────────────────────────────────────────────────────────┤
│ │
│ ┌──────────┐ ┌──────────┐ ┌──────────┐ ┌──────────┐ │
│ │ 30 Days │ │ 90 Days │ │ 180 Days │ │ 1 Year │ │
│ │ │ │ │ │ │ │ │ │
│ │ 1.0x APY │ │ 1.5x APY │ │ 2.0x APY │ │ 3.0x APY │ │
│ │ ~8% │ │ ~12% │ │ ~16% │ │ ~24% │ │
│ └──────────┘ └──────────┘ └──────────┘ └──────────┘ │
│ │
│ Current Selection: 180 Days │
│ Unlock Date: July 30, 2026 │
│ │
└─────────────────────────────────────────────────────────────┘Longer locks provide:
- Higher APY multiplier
- More voting power
- Greater governance influence
Step 2: Enter Stake Amount
Choose how many tokens to stake:
┌─────────────────────────────────────────────────────────────┐
│ Stake Amount │
├─────────────────────────────────────────────────────────────┤
│ │
│ Amount: [1,000 ] LUX │
│ │
│ Wallet Balance: 5,000 LUX │
│ Minimum Stake: 100 LUX │
│ │
│ [25%] [50%] [75%] [MAX] │
│ │
└─────────────────────────────────────────────────────────────┘Step 3: Review and Confirm
Review your stake details before confirming:
┌─────────────────────────────────────────────────────────────┐
│ Confirm Stake │
├─────────────────────────────────────────────────────────────┤
│ │
│ Stake Amount: 1,000 LUX │
│ Lock Duration: 180 days │
│ Unlock Date: July 30, 2026 │
│ │
│ You Will Receive: │
│ • 2,000 veLUX (voting power) │
│ • ~16% APY (~160 LUX/year) │
│ • Governance voting rights │
│ │
│ Early Exit Penalty: 20% │
│ │
│ [Cancel] [Confirm Stake] │
│ │
└─────────────────────────────────────────────────────────────┘Step 4: Approve and Stake
- Click Confirm Stake
- If first time: Approve token spending
- Confirm the stake transaction
- Wait for confirmation
Transaction Progress:
✓ Token approval confirmed
✓ Stake transaction submitted
⟳ Waiting for confirmation...
✓ Stake successful!
Your Position:
• 1,000 LUX staked
• 2,000 veLUX received
• Rewards accruingManaging Your Stake
View Your Position
Access your staking dashboard:
┌─────────────────────────────────────────────────────────────┐
│ My Staking Position │
├─────────────────────────────────────────────────────────────┤
│ │
│ Total Staked: 1,000 LUX │
│ Voting Power: 2,000 veLUX │
│ Lock Expires: July 30, 2026 (180 days) │
│ │
│ ──────────────────────────────────────────── │
│ │
│ Pending Rewards: │
│ • Staking: 12.50 LUX │
│ • Revenue Share: 5.25 USDC │
│ │
│ Total Earned: 125.00 LUX + 52.00 USDC │
│ │
│ [Claim Rewards] [Compound] [Extend Lock] │
│ │
└─────────────────────────────────────────────────────────────┘Claiming Rewards
Claim accumulated rewards:
- Go to your staking position
- Click Claim Rewards
- Choose what to claim:
- All rewards
- Specific token
- Partial amount
- Confirm transaction
Claim Options:
| Option | Description |
|---|---|
| Claim All | Withdraw all pending rewards to wallet |
| Compound | Re-stake LUX rewards automatically |
| Claim Selected | Choose specific reward tokens |
Compounding Rewards
Automatically re-stake your rewards:
┌─────────────────────────────────────────────────────────────┐
│ Compound Rewards │
├─────────────────────────────────────────────────────────────┤
│ │
│ Available to Compound: 125.00 LUX │
│ │
│ Compound into: │
│ ● Existing position (180 days remaining) │
│ ○ New position (select lock duration) │
│ │
│ After Compounding: │
│ • Staked: 1,000 → 1,125 LUX │
│ • veLUX: 2,000 → 2,250 veLUX │
│ │
│ [Compound Now] │
│ │
└─────────────────────────────────────────────────────────────┘Extending Lock
Increase your lock duration for higher rewards:
┌─────────────────────────────────────────────────────────────┐
│ Extend Lock │
├─────────────────────────────────────────────────────────────┤
│ │
│ Current Lock: 180 days (expires July 30) │
│ │
│ Extend To: │
│ ○ 270 days (+90 days) → 2.5x APY │
│ ● 365 days (+185 days) → 3.0x APY │
│ ○ 730 days (+550 days) → 4.0x APY │
│ │
│ New Unlock Date: January 30, 2027 │
│ New veLUX: 1,000 → 3,000 veLUX │
│ │
│ [Extend Lock] │
│ │
└─────────────────────────────────────────────────────────────┘Adding to Stake
Increase your staked amount:
- Click Add Stake on your position
- Enter additional amount
- Review updated position
- Confirm transaction
Adding to an existing stake typically resets the lock timer to your original lock duration.
Withdrawing Stake
After Lock Expires
Once your lock period ends:
- Go to your staking position
- Click Withdraw
- Choose amount (partial or full)
- Confirm transaction
- Tokens return to your wallet
┌─────────────────────────────────────────────────────────────┐
│ Withdraw Stake │
├─────────────────────────────────────────────────────────────┤
│ │
│ ✓ Lock period complete │
│ │
│ Available to Withdraw: 1,125 LUX │
│ (includes compounded rewards) │
│ │
│ Withdraw Amount: [1,125 ] LUX │
│ │
│ [25%] [50%] [75%] [MAX] │
│ │
│ Note: Withdrawing ends your staking rewards │
│ │
│ [Cancel] [Withdraw] │
│ │
└─────────────────────────────────────────────────────────────┘Early Exit (Before Lock Expires)
If you need to withdraw early:
┌─────────────────────────────────────────────────────────────┐
│ Early Withdrawal │
├─────────────────────────────────────────────────────────────┤
│ │
│ ⚠ Warning: Your tokens are still locked │
│ │
│ Lock Expires: July 30, 2026 (150 days remaining) │
│ Early Exit Penalty: 20% │
│ │
│ Staked Amount: 1,000 LUX │
│ Penalty: 200 LUX │
│ You Will Receive: 800 LUX │
│ │
│ Pending rewards will be forfeited: 12.50 LUX │
│ │
│ [Cancel] [Accept Penalty & Withdraw] │
│ │
└─────────────────────────────────────────────────────────────┘Early withdrawal incurs a penalty. Consider carefully before exiting early.
Voting with Staked Tokens
Voting Power
Your veLUX balance determines voting power:
Base Formula: 1 LUX staked × lock_multiplier = veLUX
Example:
1,000 LUX × 2.0x (180 day lock) = 2,000 veLUX voting powerVote on Proposals
- Go to Governance > Proposals
- Select an active proposal
- Cast your vote (For/Against/Abstain)
- Confirm transaction
Your vote is weighted by your veLUX balance at the snapshot block.
Delegate Voting Power
Delegate your votes to another address:
- Go to Staking > Delegation
- Enter delegate address
- Confirm delegation
delegation:
from: your_address
to: delegate_address
power: 2,000 veLUX
revocable: trueReward Calculations
APY Calculation
Base APY = (Annual Rewards / Total Staked) × 100
Your APY = Base APY × Lock Multiplier
Example:
Base APY: 8%
Lock Multiplier: 2.0x (180 days)
Your APY: 16%Reward Accrual
Rewards accrue continuously:
Daily Reward = (Your Stake × Your APY) / 365
Example:
Stake: 1,000 LUX
APY: 16%
Daily: (1,000 × 0.16) / 365 = 0.438 LUX/dayChecking Pending Rewards
View your accrued rewards anytime:
Pending Rewards:
• Staking Rewards: 12.50 LUX (claimable)
• Revenue Share: 5.25 USDC (claimable)
• Locked Rewards: 25.00 LUX (vesting)
Total Earned (All Time):
• LUX Rewards: 125.00 LUX
• USDC Revenue: 52.00 USDCBest Practices
Do
- Choose lock duration based on your timeline
- Compound regularly to maximize returns
- Monitor APY changes
- Participate in governance votes
- Diversify across lock periods if needed
Don't
- Lock more than you can afford
- Ignore early exit penalties
- Miss voting opportunities
- Let rewards sit unclaimed too long
- Panic withdraw during market dips
Troubleshooting
Common Issues
| Issue | Possible Cause | Solution |
|---|---|---|
| Can't stake | Insufficient balance | Check wallet balance |
| Can't withdraw | Lock not expired | Wait for unlock date |
| No rewards showing | Just staked | Wait for next distribution |
| Transaction failed | Low gas | Increase gas limit |
| Wrong veLUX amount | Lock duration | Verify multiplier |
Getting Help
If you encounter issues:
- Check the FAQ
- Visit the community Discord
- Contact support
Quick Reference
Lock Multipliers
| Duration | APY Multiplier | Voting Multiplier |
|---|---|---|
| 30 days | 1.0x | 1.0x |
| 90 days | 1.5x | 1.25x |
| 180 days | 2.0x | 1.5x |
| 365 days | 3.0x | 2.0x |
| 730 days | 4.0x | 2.5x |
Key Actions
| Action | Gas Cost | Time |
|---|---|---|
| Stake | ~150k gas | Instant |
| Claim | ~100k gas | Instant |
| Compound | ~200k gas | Instant |
| Withdraw | ~120k gas | Instant |
| Extend lock | ~100k gas | Instant |