Dividends
xESPER Dividends Plugin
Last updated
xESPER Dividends Plugin
Last updated
A significant portion of Esper Finance's protocol earnings is returned to users who allocate xESPER to the Dividends plugin. These dividend distributions may consist of one or multiple tokens and are disbursed continuously (reward per second) over the course of weekly epochs.
The distribution operates on a weekly epoch system: a set portion of the owner-specified accumulated tokens is earmarked for distribution each week.
The distribution of these tokens is evenly spread over the duration of the epoch and assigned on a per-second basis to every user with an xESPER allocation in this Dividends plugin. This allocation is proportionate to their share of the total allocation.
To put it more simply, let's take the following as an example:
A total of 10,000 xESPER is allocated to the dividends plugin.
The daily distribution is set to 10,000 USDC.
Users who have allocated 200 xESPER to the plugin hold 2% of the allocations. Consequently, they will receive 2% of the daily rewards, which in this case amounts to 200 USDC.
Given that dividends are distributed continuously in Esper Finance, users are not required to wait until the end of the epoch to collect their rewards.
There are no specific conditions for deallocating xESPER from this plugin in Esper Finance, and it can be done at any time. A deallocation fee of 0.5% applies.
