> For the complete documentation index, see [llms.txt](https://xiiid.gitbook.io/xiiid/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://xiiid.gitbook.io/xiiid/tokennomics/staking-model.md).

# Staking Model

XIIID establishes a comprehensive staking system to encourage long-term participation and ecosystem stability. It offers high staking rewards, up to 15% annually, with additional incentives for long-term lockup holders.

**Staking Model Overview**\
The XIIID staking system has the following key characteristics:

* **Purpose**: Stabilize token circulation, enhance network security, activate governance participation, and reward long-term stakeholders.
* **Lockup Period Options**: Flexible lockup (14 days) to long-term lockup (365 days) options available.
* **Reward Distribution Frequency**: Rewards accrue daily and are distributed weekly to encourage sustained participation.

**Staking Types and Reward Structure**\
XIIID offers diverse staking options to accommodate participants’ preferences and risk profiles:

**Fixed-Rate Staking**:

* **Feature**: Provides predictable, stable returns.
* **Rate Range**: Varies based on lockup duration.

**Variable-Rate Staking**:

* **Feature**: Offers returns linked to platform performance.
* **Performance-Linked Bonus**: Additional rewards based on platform usage and transaction fees.

**Compound Staking Option**:

* **Feature**: Automatically reinvests staking rewards into the principal for compounding effects.
* **Benefit**: Offers higher Annual Percentage Yield (APY) for long-term stakers.
* **Requirement**: Activated only for staking periods of 6 months or longer.

**Staking-RWA Token Linkage Mechanism**:

* Participants staking for a specified period gain priority eligibility for RWA project token swaps.
* Priority and swap allocation are determined based on staking duration and quantity.
* Provides priority access to launchpads for specific project tokens.

This comprehensive staking system stabilizes token circulation and supports the sustainable growth of the XIIID ecosystem by rewarding long-term participants.


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