LogoLogo
V2 DocsV2 dApp
English 🇬🇧
English 🇬🇧
  • Welcome to Folks Finance official documentation!
  • Getting started
  • HOW TO
    • Deposit
    • Lock & Earn
    • fStaking
    • Withdraw
    • Borrow
    • Rebalance
    • Repay
    • Rewards aggregator
    • Algo Liquid Governance
      • Algo Liquid Governance - G3
  • User profile
    • Dashboard
    • History
    • Notifier
  • Developer
    • Contracts
    • Official SDKs
  • Protocol architecture
    • Overview
      • Liquidity pool dynamics
      • Interest rates model
      • Interest accrual
      • Deposit
      • Withdraw
      • Borrow
      • Slippage
      • Liquidation
      • Algo Liquid Governance
      • Incentive system
      • fStaking
      • Token types
  • Security
    • Audits
    • Bug bounty
  • Support
    • FAQ
    • Glossary
    • Fees
  • helpful guides
    • Creating a My Algo Wallet
    • Buying Algo using FIAT - CEXs guide
    • Buying Algo with FIAT - Pera wallet/MyAlgo wallet guide
    • Allowing pop-up
    • Folks Finance's Testnet
  • Community
    • What can I do with gALGO?
    • Aeneas liquidity program
    • Contact
    • Community treasury
    • FOLKS
  • Legal
    • Privacy Policy
    • Terms & Conditions
    • Disclaimer
Powered by GitBook
On this page

Was this helpful?

  1. Protocol architecture
  2. Overview

Deposit

Dynamics behind the deposit operation.

PreviousInterest accrualNextWithdraw

Last updated 2 years ago

Was this helpful?

Considering a user depositing a certain amount AtiA_{t_i}Ati​​ of Token at a certain time tit_iti​, they receive an amount MtiM_{t_i}Mti​​of calculated as follows:

Mti=AtiIdtiM_{t_i} = \frac{A_{t_i}}{I_{d_{t_i}}}Mti​​=Idti​​​Ati​​​

Where IdiI_{d_i}Idi​​ is the monotonic value index (defined ) that keeps track of the variation over time. Users are allowed to deposit repeatedly, and the protocols keep records of the interests each time as follows:

Mt1=At1/It1M_{t_1} = A_{t_1}/I_{t_1}Mt1​​=At1​​/It1​​

Mt2=Mt1+At2/It2M_{t_2} = M_{t_1} + A_{t_2}/I_{t_2}Mt2​​=Mt1​​+At2​​/It2​​

Mt3=Mt2+At3/It3M_{t_3} = M_{t_2} + A_{t_3}/I_{t_3}Mt3​​=Mt2​​+At3​​/It3​​

Lock & Earn

In the Lock & Earn operation, the amount MtiM_{t_i}Mti​​, is not given at the same time as the deposit of amount AtiA_{t_i}Ati​​, but will be released at the end of the locking period. To have a deeper understanding on the Lock & Earn operation open this .

link
here
fToken
deposit interest rate