Rewards and compounding
A bond earns at its daily rate one six-hour window at a time. Every touch of the position — a claim or a compound — harvests at most one window's worth of rewards. Show up each window and nothing is ever lost; stay away longer and the extra windows are forfeited, not stored.
| Action | Effect |
|---|---|
| Compound (at most once per 6h) | Rewards roll into the principal, and the rate gains +0.25 point |
| Claim | Rewards are paid out in tokens. The rate is not reset. |
One harvest per window
Both actions are refused before the window closes — the contract reverts, it is not merely discouraged. So a harvest is always worth exactly one window: never a fraction, never a backlog.
And the window does not stockpile. Waiting 18 hours does not build up three windows of rewards — it leaves exactly one to collect, and the other two never existed. Rewards are something you collect, not something that accumulates while you are away. (This mirrors the rate ladder, which has always worked this way: missed windows never bank.)
One consequence worth knowing: a freshly opened bond waits one window before its first harvest, whichever way it was opened.
Compounding moves no tokens: the rewards are already held by the distributor, so it is pure bookkeeping. That makes it cheap.
Climbing to the cap
Every compound adds +0.25 point to your stored daily rate, but at most once per six-hour window — compounding twice in five minutes earns one bonus, not two. The effective rate — the stored rate plus the +5 boost while it is alive — stops at 20%/day and never goes higher. While a boost is alive the stored ladder stops at 15% and the boost fills the rest; if the boost is ever forfeited, that headroom reopens and the ladder itself can climb to 20%.
| Starting from | Compounds needed | At one per 6h |
|---|---|---|
| 15%/day effective (commit bond, boost alive) | 20 | 5 days |
| 10%/day (bond from a sell) | 40 | 10 days |
In practice the escalator rewards diligence rather than patience. Compounding once a day instead of every six hours takes 20 to 40 days to reach the cap — and since rewards are windowed too, that cadence also forfeits three of the four windows each day.
Claiming does not punish you
Claiming pays out and leaves your rate exactly where it was. There is no penalty and no reset — a deliberate decision, so that taking profit does not cost you the progress you built.
Selling does — harvest first
The +5 boost on a commit bond dies the moment its wallet sells or transfers even one token out (see Opening a bond) — including the window you are standing in: the un-harvested accrual in progress is re-priced without the boost. Compound or claim before you sell, and the window you already earned is settled at the boosted rate.
What compounding is worth
No yearly figure is quoted here, deliberately. Compounding grows the principal every window, so at these rates the curve is steep — but everything it pays comes from a finite pool, first come, first served, and how long that pool lasts depends on what everyone else commits and harvests. Any annualised number would be a projection dressed as a promise. The honest figure is the remaining reserve the app displays — see the reward pool.