Stake - Minting
Staking BNB will minting stBNB.
📍 Value of staked BNB == Value of minted stBNB
The genesis amount of BNB staked will mint the equivalent amount of stBNB as rewards from the nodes have yet to accrue. However, as rewards from validating start to accrue, there would be more BNB vs stBNB. Therefore, the ratio of BNB:stBNB will go up, and minting 1 stBNB will cost more BNB.
📍 The amount of stBNB minted upon staking BNB tokens will be equal to the current ratio of stBNB/BNB ratio.
For example: There are 1001 BNB staked in the Pool, and 1000 stBNB minted. If the user were to mint 1 BNB, he would be receiving 1000/1001 = 0.9990 stBNB. Similarly, when redeeming BNB from stBNB, it would be a similar reverse process based on the ratio of BNB to stBNB. All things being equal, BNB will always be increasing a few percentages due to the accumulating of yield when staking, and the price of stBNB will generally be at a premium of BNB.