Voltage Points and FAF Rewards System

Current System (Epoch 4+)

Overview

Flash Trade now uses a hybrid reward system that combines FAF staking with activity-based Voltage Points. This system rewards both holding staked FAF tokens and actively using the platform.

Two-Tier Participation Structure

The system has two participant categories with different earning rates and reward calculations:

• Staked FAF Holders: Users who stake FAF tokens and use the platform

• Non-Staked Participants: Users who register and use the platform without staking FAF

VP Earning Rates by Activity and Staking Status

Current Reward Distribution

For Staked FAF Holders

Staked FAF holders get rewards through a 50/50 split:

Final Rewards = (Stake-Based Rewards × 50%) + (VP-Based Rewards × 50%)

Where:

• Stake-Based Rewards = (Your FAF Stake / Total FAF Staked) × Stake Reward Pool

• VP-Based Rewards = Based on your VP ranking among all participants

• Minimum Requirement: VP > 0 (no activity = no rewards)

For Non-Staked Participants

Non-staked participants get rewards based only on activity:

Final Rewards = VP-Based Rewards only

Where:

• Effective VP = Earned VP × 0.5 (50% penalty applied)

• Rewards based solely on effective VP ranking position

• Registration Required: Must register to participate

Earning Voltage Points

Activities that Generate VP

Epoch Cycle

Each epoch runs for exactly 30 days, during which:

1. VP Accumulation: Users earn VP through platform activities

2. Dynamic Competition: Rankings update based on performance

3. Epoch End: Final VP totals determine rewards

4. VP Reset: All VP resets to zero

5. New Epoch: Next period starts immediately

Timing Considerations

• Early Participation: Starting VP accumulation early in an epoch provides more time to climb rankings

• Consistent Activity: Regular engagement helps maintain rank position

• End-of-Epoch Push: Final days often see increased competition as users vie for higher ranks

Strategic Implications

For Current System (Epoch 4+)

Risk Management

• Monitor your rank position regularly throughout the epoch

• Don't chase rankings at the expense of sound trading decisions

• Remember that VP multipliers enhance existing FAF rewards - ensure you have meaningful staking positions

System Evolution

Flash Trade's reward system has evolved to better balance capital commitment and active participation. The current hybrid approach ensures fair opportunities for different types of users while maintaining competitive incentives.

Future Changes: The system may continue to evolve based on community feedback and platform development, following Flash Trade's governance processes.

Legacy Ranking System (Epoch 1-3)

Overview

The original Voltage Points system used competitive multipliers applied to FAF staking rewards. VP tracked platform engagement and translated it into bonus rewards at the end of each 30-day epoch.

Legacy VP Earning Rates

All users earned VP at the same rates regardless of staking status:

Legacy Ranking System

Rankings were distributed across six tiers based on percentile performance:

Dynamic Competition

Since rankings are percentile-based, your position can change throughout the epoch. Consistent activity helps maintain or improve your rank, while periods of inactivity may result in rank decline as other users accumulate more VP.

Legacy Reward Calculation

How Multipliers Apply

At the end of each epoch, your VP total determines your rank, which sets your reward multiplier. This multiplier applies to your FAF staking rewards:

Your Rewards = (your_time_weighted_stake × your_vp_multiplier × total_epoch_rewards) / Σ(each_time_weighted_stake × corresponding_vp_multiplier)

This documentation covers both current and legacy systems. Always refer to the current system (Epoch 4+) for active participation.