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# EngageX StakeBoost

In StakeBoost, users stake ENGX Tokens to participate in the EngageX ecosystem. StakeBoost introduces a dynamic staking mechanism, eliminating lockups and employing a different strategy for calculating rewards and points.

## **Benefits from StakeBoost:**

* <mark style="color:blue;">**ENGX Rewards**</mark>
* [**Aura Points**](/engagex-gitbook/engagex-ecosystem/engagex-nexus/aura-points.md)

## <mark style="color:blue;">**ENGX Rewards**</mark>

ENGX Rewards are allocated **daily** based on the number of ENGX Tokens staked by users. The calculation for the Annual Percentage Rate (APR) is as follows:

$$
APR = \left( \frac{Reward Pool}{TVL} \right) \times 100%
$$

{% hint style="info" %}
**Note:** These rewards are not passive. To be able to claim your rewards, you have to be an active curator on the Quest platform. The exact details of the amount of activity needed to be active will be released in the future.
{% endhint %}

### **StakeBoost Reward Pool:** The reward pool is funded by two sources:

1. Token Tax: 1% of all token buy and sell transactions.
2. Quest Fees: A portion of the fees generated by Quest.

## <mark style="color:blue;">**Aura Points from StakeBoost**</mark>

Aura Points are earned by staking ENGX tokens in the StakeBoost pool. The reward system is designed to provide diminishing returns, meaning that while larger stakes earn more Aura Points, the rate of increase slows as the stake size grows. This approach aims to create a balanced distribution of rewards, ensuring that both small and large stakers are incentivized to participate in the EngageX ecosystem.

$$
AuraPoints=log10​(1 + Staked Amount / 100,000​)
$$

**Example:**

* User A deposits 100,000 ENGX Tokens, representing 0.01% of the total supply. User A accrues 0.3 Aura Points per minute or 433 per day.
* User B deposits 2,000,000 ENGX Tokens, representing 0.2% of the total supply. User B accrues 1.32 Aura Points per minute or 1,904 per day.


---

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