---
description: >-
  Learn about our Collector Yield concept, or how to Stake your ENV to receive a
  periodic interest reward on your investment. Collector Yield is based on your
  platform activity and engagement.
---

# Collector Yield

## Introduction

Staking is a way of earning rewards for holding certain cryptocurrencies, in this case ENV. Users can stake their token to receive a periodic interest reward on their investment.

Collector Yield is the APY of your stake, boosted by your platform activity and engagement.

### How much can you earn with staking?

Depending on the amount of tokens you stake and how long

* The **token amount** staked
* The **time** staked
* The **user level** of the stakeholder determined based on off-chain actions.

The formula for reward for each period is the staked amount multiplied by the interest:

```
reward = stakedAmount * interestRate
```

With:

```
interestRate = baseInterest + extraInterest * userLevel
```

Initially, both base interest and extra interest are 0.4% on a 15 day basis, which is approximately 10% on an annual basis. The user levels range from 0 till 9, making the max return 100%.

### Adjusting stake or increase weights in between staking periods

When people want to increase the amount staked, increase their user level or withdrawal funds, it probably happens in the middle of a staking period. There are 2 options for an update: **instant** or **delayed to next period**.

Delayed updates will be applied when the period is over. If a user increases his stake, the current period will still use the old staked amount for reward calculation. Starting from next period, the new staked amount will be used. The advantage is that the user is still rewarded for each day tokens were staked. This is beneficial when the increase in reward will be relatively small.

Instant updates will update the staked amount immediately. The current interest period is ended without reward, and the new period starts at the same moment. This is beneficial when the increase in reward will be relatively high.

When withdrawing funds, all updates are immediate as we are otherwise 'lending' funds for the remainder of the period. For withdrawing, there is a 2 day cool down period since the start of the staking.

### Due Diligence

Staking contract GitHub

{% embed url="https://github.com/envoynetwork/staking-contract-v2" %}
