📊Variable Interest Rate

A more in-depth explanation to how the variable interest rate works.

•Compared to Fixed Interest rates, a variable interest rate means that the reward rate can fluctuate and change relative to many factors.

What is a variable interest rate?

Sometimes called an “adjustable” or a “floating” rate, is a type of interest rate that fluctuates over time because it is based on an underlying benchmark interest rate or index that changes periodically.

What can affect the daily reward rate?

•Contract Balance

•Frequency of Daily Deposits and Withdrawals

•Overall market condition (price of MATIC)

What are Winemakers and how do they play into the reward rate?

•Winemakers are essentially a portion ownership of the contract, the winemakers you hold represent a portion of the contract size, therefor their MATIC reward value can fluctuate depending on contract health.