Otoco

FAQ's

How to stake OTOCO

To earn a yield on your OTOCO, you can stake your tokens in a single sided staking pool on Dodoex.

For the best security and control over your funds, we recommend using a Ledger Hardware Wallet. To delegate your tokens, you should ensure they are stored on your Ledger or Metamask, and then follow these steps below:

Step 1: Go to the staking pool on Dodoex and connect your wallet.

Step 2: Make sure you are on the ‘Earn’ tab and have clicked the ‘Mining’ toggle

Step 3: Search the OTOCO address ‘0x23eC026590d6CCCfEce04097F9B49aE6A442C3BA’

Step 4: Click ‘Stake’ and approve the transaction

Please view our step-by-step tutorial to staking OTOCO.

Do I need to maintain my staking in any way?
After delegating your OTOCO tokens, there are a few things to keep in mind:
• You can withdraw your OTOCO from the liquidity mining pool at any point.
• Use our OTOCO Staking Calculator to calculate your expected reward over your holding period.
How do I choose Otoco validators?

Otoco employs smart-contract staking on top of the Ethereum network, so you do not need to select Otoco validators.

How are the staking rewards generated?

The Staking Rewards on OTOCO come from:

• Inflation on the Otoco Network: The single sided staking pool emits 999.999 OTOCO in daily rewards. The rewards are distributed between stakers in the pool and is set to continue until 2023-05-16 when the staking program will wind down. 

Please note that the total annual rewards are divided by all active stakers; hence, as the amount of staked tokens goes up, the reward rate goes down.

What are the risks to staking OTOCO?

We strive to make staking as safe and transparent as possible, however, it’s important to consider factors that may influence whether a particular staking option is appropriate for you.

Slashing risk: Otoco employs a dApp staking mechanism, meaning there is no slashing risk.

Unbonding risk: There is no lockup risk when utilizing the single sided staking mechanism.

Protocol security risks: There is an inherent risk that the protocol could contain unknown bugs, this risk applies not only to staking but also the investment in OTOCO.

This list is not exhaustive and other risks may apply.

What is OTOCO?
OTOCO is the native token of Otoco Protocol that is used to carry out the key functions of the platform as detailed below:
Token Utilities
• Staking: Users can temporarily lock up OTOCO to earn rewards. In return for the service, stakers will earn liquidity mining rewards
What consensus algorithm does OTOCO network use?

Otoco is a dApp on top of Ethereum, which means it does not reach consensus itself, but is simply a smart contract on the Ethereum network.

What are the tokenomics of OTOCO?
OTOCO has an initial supply of 8 million tokens, with an uncapped token issuance mechanism. New OTOCO will be minted based on an issuance factor that can be changed at any time if the DAO votes to do so (default being 10%). All spending on Otoco will be multiplied by that factor and new tokens will be issued by the smart contract. 
The new tokens are issued in the following way:
• The spender received 25%
• The developers whose dApp was purchased also receive 25%
• The Otoco DAO Foundation receives 25%
• Holders of OTOCO also receive 25%
Please note that the above issuance mechanism pertains to the dApp Store that Otoco plans to introduce in Q3 2023 and is not live yet.
Initial Distribution Breakdown 
• 75% is allocated to the Otoco Treasury.
• 25% is allocated to participants that took part in the initial token sale.