❓ FAQs
In case you couldn’t find the answers to your questions elsewhere… 🙈
Risks
What are the risks of staking with Spirals?
What are the risks of staking with Spirals?
Staking with Spirals means that you can always redeem the staked asset. Let’s break down what that means for token supported today.
Celo
When you stake Celo with Spirals, that is staked on validators that power Celo’s L1 consensus mechanism. Since L1 staking guarantees that staked Celo can be withdrawn*, Spirals is also able to make this claim. Today, we do this through an audited liquid staking protocol called Staked Celo.
*One small caveat here is slashing penalties. This is why Staked Celo has a strict criteria for validator selection & rotation to minimize the probability of slashing.
cUSD
When you stake cUSD with Spirals, our vaults deposit cUSD as collateral into a decentralized lending protocol called Moola Market (fork of Aave V2). Moola Market tracks a health factor for each depositor that measures the value of their collateral against the value of their debt. If the ratio falls below 1 (loan becomes under collateralized), then a liquidation event is triggered.
This stability mechanism ensures that Moola’s lending pools are over-collateralized so that there should always be enough liquidity to allow our vaults to withdraw cUSD on behalf of a Spirals staker. On top of that, Spirals does not take out any loans on Moola Market so our underlying cUSD collateral is safe and will never be liquidated.
Have the Spirals smart contracts been audited?
Have the Spirals smart contracts been audited?
Yes! We completed our first audit with Verilog Solutions on September 12th, 2022.
Impact
How is impact calculated?
How is impact calculated?
Today, the impact of a Spirals user can be understood as “the amount of positive climate work I’ve helped bring to life.” Although not every project in the portfolio focuses on sequestering carbon, we use tCO2 (tons of carbon) as a base unit to understand our physical climate impact and an estimated cost of $15/ton for nature-based carbon removal.
For example, let’s say we have a user who is staking 500 to climate projects, which equates to 33.33 tCO2 of physical climate impact.
Conversion to other units like number of miles walked instead of driven was calculated using numbers used by an open-sourced carbon footprint calculator published by Berkley researchers:
Is impact double-counted?
Is impact double-counted?
No, because users of Spirals do not get to claim the carbon offset associated with their yield contributions. This is instead understood to be the amount of positive climate work they’ve helped bring to life, but is not contributing to their individual carbon neutrality.
Governance
How are projects selected?
How are projects selected?
An independent council of climate experts review each climate impact project to ensure we are listing high quality projects. This process will be eventually completely open-sourced with an opportunity for SPRL token holders to become engaged as well.
Learn more about how that works today here.
Is Spirals a DAO?
Is Spirals a DAO?
Eventually we will be, yes! Our approach to building Spirals is best summarized by progressive decentralization.
For now we are mostly making decisions as a core team to learn quickly and understand how things can be systematized. Our intention is to gradually transition the decision-making process to on-chain governance coordinated by the $SPRL token. More on that soon!
Supported Platforms
What chains are supported today?
What chains are supported today?
Today we support Celo. Soon we will support Ethereum and Polygon as well.
What wallets are supported today?
What wallets are supported today?
Today we support Metamask, Coinbase Wallet and most other wallets through WalletConnect (Valora, Rainbow Wallet, etc.).
We also support Gnosis Safes for multisig staking!
Fees
What are the fees for staking?
What are the fees for staking?
As a quick refresher, there are 3 types of projects on Spirals:
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Collection - climate impact projects funded through forward contracts, part of the default Spirals Collection
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Impact - climate impact projects, either
verifiedorpending reviewby climate council -
Ecosystem - projects that strengthen the ReFi ecosystem
The fees for staking depends on the type of project you are supporting. If a fee applies, it is taken from the staking yield you earn through the protocol, which means that you will still be able to withdraw 100% of your principal deposit.
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Collection - no fees
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Impact - 2% for verified projects, 5% for unverified projects
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Ecosystem - flat 5% fee
What are the fees for getting listed as a project?
What are the fees for getting listed as a project?
As a project, there are no fees for listing your project and setting up a project page 🙂