About X2Y2 staking rewards
March 18th, 2022

Around two hours ago, the X2Y2 staking halving kicked in on block #14408224, and we noticed the APR dropped from ~1000% to ~160%, much lower than the expected 500%.

After investigating the issue further, we discovered that a mistake was made in setting the initial parameters of the staking rewards contract.

The first table shows the planned distribution of tokens while the second table shows how they were actually distributed as a result of the error. The error resulted in per stage having instead of the intended per block halving. In the current setup, all tokens that will be distributed in stage 2 are halved from that of stage 1.

As a result of the parameter error, we ended up distributing 56% of the total 200M rewards in the first 30 days instead of the 18% originally intended. This was also likely a major driving factor behind the intense selling pressure we have experienced to date.

These parameters are not part of the smart contracts but were set at deployment. As a result, we were unable to notice the problem in our code review.

We sincerely apologize to all our users who have been affected by this mistake.

We've checked other smart contracts in the system, and no similar mistakes were found.

Arweave TX
Ethereum Address
Content Digest