$sWBERA

$swBERA (Staked $WBERA) is a yield-bearing token that represents your staked $BERA position in the Staking Vault. It provides non-dilutive yield through Proof of Liquidity incentive redirection.

How to Get $sWBERA

$sWBERA tokens are issued when you stake $BERA or $WBERA in the Staking Vault. For detailed instructions on how to stake BERA and receive $sWBERA tokens, see the $BERA Staking Guide.

You can stake either native $BERA (which the system automatically wraps to $WBERA) or $WBERA directly if you already have wrapped $BERA tokens. Both methods result in receiving $sWBERA tokens representing your staked position.

How $sWBERA Works

Non-Dilutive Yield Mechanism

$sWBERA earns yield through a non-dilutive mechanism that doesn't inflate the token supply. Instead, the underlying value of each $sWBERA token increases as the vault accumulates more WBERA from incentive redirection.

Proof of Liquidity Incentive Redirection

The yield comes from the 33% incentive redirection from PoL protocols. When protocols pay incentives to validators for directing $BGT emissions, 33% is redirected during incentive distribution and sent to the Incentive Collector. These redirected incentives are then auctioned for $WBERA through automated market mechanisms, and the $WBERA is distributed to Staking Vault stakers, increasing the value of $sWBERA tokens.

Auto-Compounding

Your rewards automatically compound without any manual intervention. No claiming is required as rewards are automatically reinvested, causing your $sWBERA tokens to increase in value over time.

Unstaking sWBERA

7-Day Unbonding Period

To convert your $sWBERA tokens back to $BERA or $WBERA, you'll need to unstake through the Staking Vault. The unstaking process has a 7-day unbonding period:

1. Initiate withdrawal: Queue a withdrawal request through the Staking Vault interface
2. Wait 7 days: Your withdrawal request enters a 7-day cooldown period
3. Complete withdrawal: After the unbonding period ends, return to the interface to complete the withdrawal and receive your $WBERA tokens

Important Considerations

• No rewards earned during the unbonding period
• Withdrawal requests expire after 7 days if not completed
• Multiple requests: You can have multiple withdrawal requests active simultaneously
• Cancellation: Withdrawal requests can be cancelled before completion

For detailed instructions on the unstaking process, see the $BERA Staking Guide.