Users can stake IMX to earn rewards from interest payment fees paid to the protocol.
Impermax is a profit generator. Up to 20% of all the interest paid on Impermax is kept by the protocol as profit. The IMX token gives the right of ownership of the Impermax protocol, and for this reason IMX holders benefit from the Impermax revenue stream. Protocol profits are used to buy IMX from the market, creating buying pressure, and these IMX are then distributed to holders through IMX Staking.
You can start staking by navigating to the staking section of the Impermax app. The staking process is immediate and you can stake and unstake your IMX at any time. By staking IMX you will obtain xIMX, a fully composable ERC20 token representing your share of the staking pool. Staking rewards are automatically compounded to your IMX balance. Please notice that IMX Staking is initially available only on Ethereum mainnet.
This is the user interface for staking and unstaking IMX
Staking is implemented through two smart contracts.
The main smart contract, the staking pool (or xIMX), is an ERC20 contract where users can stake and unstake their IMX. By staking they will receive a number of xIMX tokens representing their share of the staking pool. They can redeem these xIMX at any time for the underlying tokens. Whenever some IMX are sent to the staking pool they are split among all IMX stakers according to their share of the staking pool.
The second smart contract is the reserves distributor. This contract holds all the IMX bought back from the market and distributes these IMX to the staking pool at the distribution rate. This rate is computationally defined and set to distribute all the IMX held by the contract in 90 days. The distribution rate is updated every time the IMX balance of the contract changes. Therefore, this contract will act as a buffer that always sees an outflow of IMX that will be distributed to stakers, and an inflow of IMX bought back from the market. This property will ensure that the distribution rate will be stable with time, and that there won’t be drastic changes to it on a daily basis.
xIMX Ethereum address:
ReservesDistributor Ethereum address: