Facts // read from the code
HEX is a time deposit written in code
Lock HEX for 1 to 5,555 days and the contract creates new HEX as the reward for waiting. The rules are constants. The contract has no owner or admin, so nobody can change them.
$ hex --info
- networks
- Ethereum · PulseChain
- contract
- 0x2b59…Eb39
- day 0
- 2019-12-03, 00:00 UTC
- inflation
- 3.69% per 364 days
Step 1 // stakeStart()
A stake burns your HEX
Pick an amount and a number of days. The contract burns the HEX from your wallet, so while staked it is not in totalSupply(). What remains is a record: how much, for how long and how many shares.
stakeStart(newStakedHearts, newStakedDays)
A stake starts on the next full HEX day. Days run in UTC and everyone shares one calendar.
Step 2 // shares
Instead of HEX you get shares
The daily payout is split by shares, not by the amount of HEX. How many shares you get depends on the amount staked, the bonuses and the share price on your start day.
shares = (HEX + bonus) × 100,000 / shareRate
A T-share is 10¹² shares. It is a community and interface unit; the contract itself never uses the name.
Bonuses // LPB + BPB
Longer and bigger pay better
- Longer Pays Better: +20% for every 364 extra days, up to +200% at 3,641 days.
- Bigger Pays Better: grows linearly up to +10% at 150 million HEX.
- Both bonuses are added to the amount before shares are calculated.
A stake longer than 3,641 days gets no extra bonus, but it keeps collecting daily payouts up to 5,555 days.
LPB +54.9%BPB +0.0%shares ×1.55
shareRate // only goes up
Shares get pricier over time
The share price in HEX can only rise. When a stake ends with a profit, the contract sets it so that restaking the full return for the same length would buy the same number of shares.
- Join later and the same HEX buys fewer shares. The system rewards early and long commitment.
CoinFabrik's economics audit (2019) confirmed for realistic parameters that one long stake pays more than repeated short ones.
Every day // payout pool
New HEX is split by shares
Every day the contract books a pool of 3.69% a year (364 days, compounded daily) of the entire HEX supply. All of it goes to active stakes by their shares. Unstaked HEX gets nothing, and its share of the supply shrinks.
pool = allocSupply × 10,000 / 100,448,995
Simplified illustration: if a quarter of the supply is staked, stakers split 3.69% of the whole supply, roughly 14.8% a year on staked HEX. Paid in HEX, not in dollars.
stakeEnd() // when to end
Keep your promise
- On time: principal and payout are minted back to your wallet.
- Early: the penalty is the payout of a window of half the length, at least 90 days. On a stake held only briefly it also takes part of the principal.
- Late: 14 days of grace, then 1/700 of principal and payout per day. After about 714 days nothing is left.
Anyone can call stakeGoodAccounting(). It stops the late penalty, but only the owner can collect the HEX.
Penalties // 50 : 50
Break your promise, pay the others
Every penalty is split in half. One half goes into the next day's payout pool for all active stakes. The other half is minted to the Origin Address.
The Origin Address is a constant in the code. It cannot mint at will, change the rules or touch anyone else's HEX. It receives half of every penalty, permanently and on both chains.
Fork // 10 May 2023
One code, two separate assets
PulseChain copied Ethereum's entire state after block 17,232,999. HEX, every balance and every stake therefore exist on both chains at the same address with the same code.
- Since the fork they are two assets with their own price: HEX on PulseChain and HEX(eth) on Ethereum.
- A stake from before the fork exists twice. A new stake lives only on the chain where it was started.
- HEX moved over the bridge is a different token (HEX from Ethereum), not HEX on PulseChain.
Summary // before you start
What to watch out for
- The yield is in HEX. Its price in dollars can fall or rise sharply.
- Staked HEX cannot be sold. Ending early or late costs a penalty.
- Check the network in your wallet and the contract address before you start or end a stake.
- The official interface is go.hex.com.
Details and code references: HEX staking and HEX on Cryptospecting. Not financial advice.