How It Works

The XPower protocol orchestrates six smart contracts through a pipeline that transforms computational work into time-weighted store-of-value tokens.

1. Mine XPOW

The entry point is proof-of-work mining. A miner iterates over random nonces, computing:

$$\text{Keccak256}(\text{address}\oplus \text{beneficiary}\parallel \text{blockHash}\parallel \text{nonce})$$

When the result has $z$ leading zero nibbles (hex digits), the miner submits the solution on-chain. The reward is $(2^z-1)\times {10}^{18}$ XPOW — split 50% to the miner's beneficiary and 50% to the MoeTreasury. Block hashes are valid for 1 hour and each (blockHash, pairIndex) pair is single-use, preventing replay attacks.

2. Deposit into XPowerNft

XPOW holders deposit tokens into the XPowerNft contract to mint tiered ERC-1155 NFTs. Each NFT has:

• Level $\ell \in \{0,3,6,\dots ,99\}$ — must be a multiple of 3
• Denomination $D={10}^{\ell }$ — the XPOW value locked per NFT
• ID $=100\times \text{year}+\ell$ — encodes both mint year and level
• Maturity year $=\text{mintYear}+2^{\lfloor \ell /3\rfloor }-1$ — the earliest year the NFT can be redeemed

Higher levels concentrate more XPOW into fewer NFTs, proportional to ${10}^{\ell }$, and require exponentially longer lock periods.

3. Stake in NftTreasury

To earn rewards, XPowerNft holders stake their NFTs in the NftTreasury contract. This:

• Transfers the XPowerNft to the treasury
• Mints an APowerNft to the staker — a staking receipt that tracks accumulated age and per-level shares
• Refreshes the MoeTreasury rate calculations

APowerNfts are transferable (with reward refresh on transfer) and can only be minted or burned by the NftTreasury.

4. Accrue Rewards

While staked, rewards accumulate continuously based on two polynomial rate functions:

• APR (Annual Percentage Rate) — determined by NFT level via polynomial evaluation. Default: linear scaling at 1.125% per level.
• APB (Annual Percentage Bonus) — determined by stake age via polynomial evaluation. Default: 0.1% per year of stake duration.

The reward formula for a staked NFT is:

$$R=\frac{(\text{APR}+\text{APB})\times \text{age}\times D}{{10}^6\times C}$$

where $D$ is the denomination, age is in seconds, ${10}^6$ converts parts-per-million to a fraction, and $C=\mathrm{36,525}$ days (the CENTURY constant).

An integrator mechanism computes duration-weighted arithmetic means of rate changes, preventing flash-stake manipulation. A dynamic scalar redistributes rewards based on per-level share distribution — under-staked levels receive bonus multipliers; over-staked levels receive penalty divisors.

5. Claim APOW

Accumulated rewards can be claimed at any time via MoeTreasury.claim(). This mints APOW tokens at a rate-limited pace — the mean minting rate targets approximately 1 token per minute, enforced through a moving average with square-root smoothing. Unclaimed rewards continue accruing; there is no penalty for infrequent claiming.

6. Unstake / Upgrade / Migrate

The staking lifecycle supports multiple exit paths:

• Unstake: Burn APowerNft → receive XPowerNft back. Any pending rewards must be claimed first.
• Upgrade: Burn 1,000 XPowerNfts at level $\ell$ → mint 1 XPowerNft at level $\ell +3$. This 1000:1 ratio preserves the 10× denomination increment.
• Redeem: After the maturity year, burn XPowerNft → receive the locked XPOW back.
• Migrate: Legacy v9.x contracts support full token and NFT migration with ~4-year deadlines.

The six-contract XPower architecture: Miner → XPOW → XPowerNft → NftTreasury → APowerNft → MoeTreasury → APOW