I am having trouble understanding the difference between what will happen if NuBits are deposited in NuLagoon pool A versus pool D.
Pool D is the leveraged Bitcoin pool, so what happens to NuBits in it?
Pool A gives 7% a month for NuBits, right?
I could have just asked NuLagoon for the answer, but I thought the answer might be useful to others as well.
pool A
Fee and Calculation
Now the daily custodian fee rate is 0.34%. The daily custodian fee rate could be adjusted by new motions passed by Nu Shareholder. The dividing ratio of custodian fee between pool manager and pool participants is 10:24.
The custodian fee rate could be adjusted by the terms in motion of the Nu Lagoon or another motion passed by shareholders in future. A new fee rate will be announced as soon as possible after it is decided, and it will only begin effect at an accounting day in future.
NAV of the pool will be calculated by the following formulas:
Total asset = Holding of NBT + Holding of BTC * BTC price
Custodian Fee = Custodian Fee in previous accounting day + Total Asset in previous accounting day * custodian fee rate * days
Manage Fee = Manage Fee in previous accounting day + Total asset in previous accounting day * manage fee rate * days
NAV = (total asset + custodian fee - Manage Fee) / total number of shares
NAV affected by the price of BTC
Thanks @huafei, that makes the return on Pool A quite clear.
I’m still confused about how the return on NuBits in Pool D would be calculated. I would like to put some NuBits in a NuLagoon pool, but can’t make a good decision about which pool given my confusion.