Liquid Staking (mMON)
Introduction
Liquid staking is the foundation of Monbux. Instead of locking MON tokens in traditional staking, users can stake MON through Monbux and receive mMON, a liquid staking derivative that represents their staked assets.
gMON is fully transferable, meaning it can be held, traded, or integrated into other DeFi protocols while still accruing staking rewards.
How It Works
Stake MON → Receive mMON
When users stake MON on Monbux, the smart contract mints and issues mMON at a 1:1 ratio (1 MON = 1 mMON initially).
Reward Accrual
As the underlying MON generates staking rewards, the value of mMON increases proportionally.
Example: Over time, 1 mMON may be worth 1.05 MON due to accumulated staking rewards.
Unstaking
Users can burn mMON to redeem their MON (minus any applicable fees).
Minimum unstake requirements ensure efficient system operations.
Benefits of mMON
Liquidity: Unlike traditional staking, users retain flexibility and can transfer or trade mMON at any time.
Rewards: mMON continuously reflects staking yield without requiring manual claims.
Composability: mMON can be used in upcoming swaps, lending, and governance protocols within the Monad ecosystem.
Transparency: All staking, minting, and burning events are visible on-chain.
Example Use Case
Alice stakes 100 MON → receives 100 mMON.
After 3 months, due to rewards, 1 mMON = 1.08 MON.
If Alice redeems, she burns 100 mMON → receives 108 MON (minus any fees).
The Future of gMON
mMON will evolve into a core asset of the Monbux ecosystem, serving as:
A collateral asset in lending protocols.
A governance token for decision-making.
A yield-bearing token usable in swaps and liquidity pools.
By combining staking and liquidity, mMON unlocks greater capital efficiency for Monad users.
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