Every day’s a HOLOday when there’s $HOL in your wallet, and there are now around 5,000 people who have joined us on the Hololoot revolution. We’re bringing AR NFTs to nearly one billion mobile devices, and our token launch was a significant step in our journey.
Distributing the token to you all was a critical step, but even this represents only one part of our greater plan. This game we’re in is crypto: if you’ve got tokens sitting in your wallet collecting dust, you may be missing out on profits 💸
Staking is a mainstay of crypto and plays an important role in ensuring a healthy token economy. But getting into staking can be daunting, particularly if you’ve never done it before. Because our mission is to reach as many people as possible, we also need to ensure that those who are new to crypto have access to the same opportunities as the veterans.
In this article we briefly explain what staking is and why it’s important, before showing you how you can stake both single-asset $HOL as well as HOL/BUSD LP tokens. We also discuss some mechanics behind Holopixels ($PIXEL) — our exciting internal currency.
📖 Make sure you read to the end so that you don’t miss any important details.
What is staking?
Staking is one of those words that used to mean something very specific, but today covers a fairly wide range of activities. Essentially, when you stake you lock away your tokens (for varying periods of time, dependent on where you stake) to receive rewards.
Staking plays a vital role in crypto. It’s an essential part of certain blockchain consensus mechanisms that ensures people have something to lose if they try to cheat the system. Staking also helps remove circulating supply — this often means there are fewer tokens being sold which in turn can create positive price action. Staking can also be useful for rewarding users who perform important ecosystem functions, like providing liquidity to an exchange.
Regardless of the reason, staking usually helps the token you’re staking and earns you rewards on top. It’s kind of like earning interest on your savings in a traditional bank, except the returns are much higher 🚀
At Hololoot, we’re currently offering three types of staking:
- Single-asset $HOL staking
- HOL/BUSD LP staking
- Holopixel staking
Each type of staking has processes in common with the others, so even if you’re only interested in one type make sure you still read the entire guide.
Single-asset $HOL staking
Staking just $HOL is the easiest to get into. To participate you just need $HOL (and a tiny bit of $BNB for the gas).
First, head to our staking page here: staking.hololoot.io. Or you can navigate there from the Hololoot homepage
Once you’re on the staking page, take a look at the pools and choose the one you want to participate in. How do you know which one is which? Simply check the asset you stake for the pool, as well as the rewards that get paid.
In our screenshot above, the top asset is what you’re staking ($HOL) and the bottom asset is your reward ($HOL). Remember, you don’t necessarily have to earn rewards in the same asset! There’s a second pool where rewards are paid in $PIXEL, which we discuss below. You can also see the APR, which dynamically adjusts according to how many tokens are in the pool.
For now, let’s stake in this pool. Click ‘Stake’ and choose how much $HOL you’d like to stake.
Approve the transaction through your wallet.
Confirm the transaction in the staking pool.
Confirm the transaction in your wallet (the last time, we promise!)
Now watch your rewards come in!
These pools sometimes have minimum lockup periods, so make sure you check the latest announcements for all the details on the current pools.
Once you’re accumulating rewards, there’s very little you need to do until you decide to claim. Here there are two options: ‘Claim’ or ‘Restake’. If you choose to ‘Claim’, your rewards are withdrawn to your wallet. If you choose to ‘Restake’, your rewards are added to your staked amount (increasing your rewards potential).
Both of these actions require you to pay gas — it’s up to you to decide when and how you’d like to claim the rewards.
If you decide to unstake, just hit ‘Request Unstake’, approve the transaction, and you’ll get your $HOL plus any unclaimed rewards. Remember to check the rules though: if you unstake early you may incur a penalty.
HOL/BUSD LP Staking
Liquidity providers (LPs) are essential participants in the token ecosystem. As the name suggests, they provide liquidity — usually to decentralized exchanges — which enables other people to buy and sell tokens without problems. Because this is so important, LP staking pools are usually given better rewards to encourage people to provide liquidity.
🚨 Remember: providing liquidity has great rewards, but also its risks (including impermanent loss). Make sure you understand how liquidity provision works before you supply your own tokens.
Staking HOL/BUSD LP tokens requires having some — so that’s where we’ll start.
Head to PancakeSwap and navigate to the ‘Liquidity’ tab.
Select ‘Add Liquidity’.
Enter the pair you want to add liquidity for. In our case, $HOL and $BUSD.
Remember to check the contract address.
Now, decide how much liquidity you want to add. It’s important to remember you need to add assets in a 1:1 ratio — for every $1 in BUSD, you need to add $1 worth of $HOL. PancakeSwap uses the up-to-date token price to calculate the ratio, which is shown at the bottom of the box.
You’ll then need to approve a transaction through your wallet, normally costing a small amount of gas.
Once it’s approved and everything looks good to go, hit ‘Supply’ and confirm the transaction. The tokens you’re supplying will be taken from your wallet, and you’ll receive an amount of LP tokens in their place. Congratulations! You’re now a liquidity provider and entitled to your proportional share of the transaction fees collected when people trade.
But it doesn’t end there — head back to Hololoot and earn even more by staking your LP tokens.
Here you’ll follow the same process as single-asset staking, but with LP tokens instead. You can tell it’s the LP token pool by the staked asset description. The APR on these pools will also generally be higher than other pools.
Follow the steps outlined in the single-asset staking section to add your LP tokens, and voila, you’re done!
The astute crypto detectives of you may have noticed something on our staking page: a third pool, with rewards paid in $PIXEL.
Rewards are paid at a rate of 1 $PIXEL for every 1 $HOL staked per day. For example, if you stake 100 $HOL, you’ll earn 100 $PIXEL every 24 hours.
Staking in this pool follows the same procedure as the first single-asset $HOL pool. Please read that section for the step-by-step on what you need to do to farm $PIXEL.
But before you do any of that, you’re rightfully wondering: what is $PIXEL? And what can I use it for?
$PIXEL is Hololoot’s internal currency. We’re going release more details on its utility and token structure later, but for now we can give you a little sneak peek at what it’ll be used for, and why you should start stacking them now 💰
We’re working on an NFT launchpad, and we’re already in talks with some big partners to launch exclusive collections through Hololoot. These drops will have different tiers, with higher tiers costing more PIXEL to buy. You’ll also need to hold a certain amount of PIXEL to even access the higher tier NFTs to begin with.
We’re working to ensure that these NFTs are more than just pretty pictures. As well as having the full range of AR capabilities that come with our platform, these NFTs will also unlock extra benefits with our partners. For example, an NFT drop with a P2E game might give you extra in-game currency or provide you with a rare in-game item.
$HOL is still an integral part of all of this — you need to stake it to even earn $PIXEL, and $HOL can still be used in the Hololoot marketplace. $PIXEL is our way of exploring new options through our launchpad, and we’re looking forward to revealing more details soon.
It’s always pool weather at Hololoot 🏊♀️
We’re excited to bring you these staking opportunities, and we hope you’ll take full advantage of these pools. We’re looking to maintain competitive APRs as a way of saying thanks, and whether you’re farming $HOL or $PIXEL we know you’re going to love these rewards.
We’re looking forward to releasing more features and opportunities for holders very soon, so make sure you’re following us on all of our social channels so that you don’t miss anything ✨