Overview

Morphose has an "Earn" program to increase protocol use and fairly distribute monthly unlocked tokens to the community. By depositing BNB to the protocol while having MORPH tokens in the depositor wallet; the protocol can be used for free by getting the commission amount of MORPH tokens back, and up to 200% APR in MORPH can be earned as long as the BNB stays in Morphose.

For example, if 1 BNB is 400$ and 1 MORPH is 10$ when 1 BNB deposited and 40 MORPH held in the depositor wallet, the withdrawer receives MORPH tokens together with BNB in below rates:

• For holding funds 0 to 8 hours withdrawer earns 200% APR in MORPH. 4.2$ in 8 hours.

• For holding funds 8 to 16 hours withdrawer earns 150% APR in MORPH. 4.9$ in 16 hours.

• For holding funds 16 to 24 hours withdrawer earns 100% APR in MORPH. 6.1$ in 1 day.

• For holding funds 1 to 3 days withdrawer earns 50% APR in MORPH. 9.6 $ in 3 days.

• For holding funds 3 to 7 days withdrawer earns 25% APR in MORPH. 15.9 $ in 1 week.

Users can earn starting from 0.3 BNB to 10 BNB in parallel. Holding funds for more than 1 week will give the same return as 1 week. For example, holding 3 weeks will return the same amount that would yield if funds were held 1 week. APRs are directly targeted to create short-term traffic on the protocol to increase anonymity set using the below formulas:

Reward Calculation for 8 hours:
​
yearInSeconds = (365 * 24 * 3600)
earnAprFor8Hours = 200
1BNBWorthMorph = 40
8HoursTimeInSeconds = 28800
secondlyEarned = (1BNBWorthMorph * (1 + (earnAprFor8Hours/100))) / yearInSeconds
8HoursTimeInSeconds * secondlyEarned = 0.109
​
Commission Calculation for 1 BNB:
​
1BNBWorthMorph = 40
percentToPayBack = 0.78
1BNBWorthMorph * (percentToPayBack/100) = 0.312
​

Here are the important details to consider:

• When the BNB is Morphose, the BNB amount worth of MORPH at the deposit time has to stay in the deposit wallet. If moved (or moved and returned back) until withdrawal, the user won't be eligible. So once the BNB amount is deposited, deposit BNB worth of MORPH in the wallet is treated by Morphose as "locked", and the user won't be eligible to use it in other deposits until withdrawal. If the user wants to earn more in parallel, the user can deposit more BNBs while holding more MORPH.

• For privacy reasons, MORPH tokens are sent only to the withdrawer wallet address with the funds withdrawn.

• Token distribution is being done from the faucet. The Faucet works detached from the deposit-withdraw frontend logic and backend smart contracts so there is no risk of relating the depositor-withdrawer unless withdrawn tokens sent back by the withdrawer to the depositor wallet address.

Let's go over how Alice can earn MORPH for her 1 BNB deposit she holds for 8 hours.

Step-by-step

1. Alice deposits 1 BNB while holding 40 MORPH in her wallet to get the note to withdraw funds.

   • We assume 1 BNB is 400$, Morph is 10$ and Alice has at least 40 MORPH in her wallet.

   • We assume Alice has an additional 0.006 BNB to pay the BNB deposit gas fee.

2. Alice waits 8 hours while not moving her 40 MORPH in her wallet and then loads the note to withdraw funds.

   • If MORPH moved Alice won't be eligible to earn.

   • 40 MORPH can't be used for another 1 BNB deposit while the funds are in Morphose. After withdrawal, it can be used.

3. Alice withdraws her funds with a new wallet and receives MORPH to that wallet

   • MORPH can't be sent to the depositor wallet for privacy purposes.

   • Token distribution logic is completely detached from deposit-withdraw logic, not to risk relating depositor-withdrawer in any case.

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