Understanding Sheesha’s Unstaking Tax and Fees Structure
Today we’ll shed some light on the tax and fee structure that exists within the Sheesha Finance staking platform.
First, if you aren’t sure about the fees I am referring to, let’s get you up to speed.
What Is Our Unstaking Tax?
Members will need to pay a fee when they unstake their tokens from the Sheesha platform. This incentivizes stakers to remain staked for the long term. Remember, the longer you stake, the more you earn!
The unstaking tax for the Sheesha tokens is as follows:
- Sheesha (ETH) = 4%
- Sheesha (BSC)= 4%
- Sheesha (MATIC) = 2%
The unstaking tax for the Sheesha LP tokens is as follows:
- Sheesha (ETH)= 4% after the first 24 months
- Sheesha (BSC)= 4% after the first 24 months
- Sheesha (MATIC)- 4%
The unstaking tax for both Ethereum and Binance Smart-Chain Sheesha LP tokens is 96% during the first month. It decreases by 4% every month until it reaches a flat rate of 4% where it will remain.
The unstaking tax for Polygon Sheesha LP tokens remains flat at 4%.
What is This Tax Used For?
At Sheesha Finance, we are building an ecosystem of early-stage crypto projects that are each building for the long-term. We believe that crypto is the future and we want to bring as many Sheeshans as we can on the road to mass adoption.
That is why the unstaking tax is re-distributed back to other stakers in the form of native and LP Sheesha token rewards. A small percentage of those fees are also burned. This helps stabilize the price and ensures Sheesha tokens retain a level of scarcity.
Understanding Network/Gas Fees
Gas fees exist because independent nodes in a blockchain need incentives to process transactions in a secure and honest way. Since there is no central authority to pay people for supporting a decentralised system, nodes are rewarded with transaction fees every time a transaction is made on the blockchain.
Some centralized exchanges may cover a network fee, allowing users fee-free transactions. But in the world of DeFi, users are responsible for covering these fees.
This transaction fee is not charged by, nor controlled by Sheesha Finance and we do not keep any portion of this fee.
This fee is charged above the Sheesha tax figures highlighted above.
Transactions that trigger network fees can occur from the following types of transactions:
- Sending Crypto
- Staking Crypto
- Unstaking Crypto
- Claiming Rewards
To get the most out of your rewards, make sure the amount that you are claiming, staking, or withdrawing is substantial enough to justify the cost. Paying $50 worth of ETH to claim a daily reward worth $1 is a bad idea!
We hope you learned some useful info about Sheesha’s staking fees and how it all fits into the wider DeFi industry in general. If you have any further questions, please do not hesitate to ask in our community Telegram channel.
Until next time Sheeshans, happy staking!
Why Stake with Sheesha?
Sheesha Finance is a leading DeFi Staking Platform. We provide benefits from a premium, diversified cryptocurrency portfolio, with a staking platform that rewards investors of any size, from small to large ticket holders.
We have built an Investment and Incubation platform, Sheesha Foundry, with an extensive network of partners who are thought leaders in the crypto space. This allows us to consistently discover promising projects in their early stages.
Our easily convertible assets can be used to maximise rewards and gain exposure to existing and upcoming DeFi projects. With plans to become a member-managed Decentralised Autonomous Organisation (DAO), Sheesha Finance is dedicated to upholding full transparency and integrity within the DeFi space.