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Decentralized Reserve Currencies that exist today take two approaches to rebasing, they follow OlympusDAO with an 8 hour rebase period or pick an arbitrary amount of time between rebases to appear novel. We looks to a new direction.
Gov taking is a fundamentally new approach to a Decentralized Reserve Currency by implementing what we call Block Rebasing. We define Block Rebasing as rebasing that occurs with every block with the contract rapidly adapting to our treasury size. Block rebasing means that as soon as you stake(3,3), you will instantly begin seeing your staked balance go up.
The rebase formula is represented as:
Reward = Block_ROI* (block delta since last rebase)
Block rebasing also solves the issue of larger holders selling directly after a rebase, putting downward pressure on UPS prices in concentrated windows after 8 hours. By continuously rebasing, rewards will have growing distribution across all time frames, making the protocol stable and solvent.
With Block Rebasing, UPS stakers will be happy to hear that their stakes will auto compound faster, meaning staking and compounding UPS will work even harder for you in contrast to traditional platforms such as OlympusDAO.
The APY is calculated from the reward rate using the following equation in a year:
It raises to the power of 365 * 21,600 = 7,884,000 because a rebase happens every block. 21,600 is total block in a day.
Note that the reward rate is subject to change by the protocol.