Stake bTokens
Baseline staking lets bToken holders earn rewards directly from trading activity. The amount you earn depends on:
| Factor | Impact on Rewards |
|---|---|
| Your stake | Larger stake = larger share |
| Total staked | More competition = smaller share |
| Trading volume | Higher volume = more fees to distribute |
Staking has no lock-up period, and you can claim your rewards anytime. Users who borrow or leverage their bTokens are automatically staked, and thus also eligible for staking rewards.
Why stake?
- Harvest trading volume : Capture value from every trade as fees flow to stakers
- Passive income : Earn fees without actively trading
- No impermanent loss : Unlike traditional LP staking, your bTokens remain bTokens and you incur no impermanent loss
How staking works
On a high-level, staking works as follows:
- Trading fees accumulate : Every bToken trade generates fees
- Fees stream to staking contract : The Baseline protocol uses the Fee Manager to route a portion of the fees to the staking contract
- Proportional distribution : Stakers earn based on their share of total staked
- Claim anytime : Rewards accumulate and can be claimed whenever you want
Baseline uses an adaptive distribution system that smoothly streams rewards to stakers. Trading fees flow into a pending yield pool, and the protocol automatically adjusts the distribution rate using a proportional controller. When trading volume is high, the distribution rate increases to match the influx of fees. During quieter periods, it gradually decreases. This ensures steady, predictable reward streams rather than sudden spikes or long waits between distributions.
Your rewards accrue continuously with every block based on your share of the total staked amount. The protocol tracks cumulative rewards using an accumulator that updates in real-time, so your earned balance grows automatically without requiring any action on your part. You can claim your accumulated rewards whenever you want—there are no epochs or waiting periods.