What Is Staked Olympus (SOHM)?

Olympus is a community-owned decentralized financial infrastructure. The platform aims to establish more transparency and stability in the cryptocurrency industry. Staked Olympus (SOHM) is a cryptocurrency provided to the users that stake the Olympus token (OHM). Olympus or OHM is the native token of the Olympus platform.

According to the whitepaper, Olympus is a reserve currency protocol based on decentralization. The Olympus token holders stake the OHM coins to seek to earn rebase rewards. Such rewards are extracted from bond sales. The rewards can vary based on the amount of OHM staked and the reward rate.

When the user stakes Olympus token (OHM), the stakers aim to receive an equal amount of SOHM. SOHM is a transferable cryptocurrency and is composable with other DeFi protocols.

An increase in the stake of OHM seeks to protect the stakers from a drop in the price below the initial purchase price. Therefore, the staking of OHM is considered a passive and long-term strategy. Staking allows users to seek to earn OHM through auto compounding. Through auto compounding, stakers can seek to profit even if the balance of token price outpaces the possible drop in price.

OlympusDAO aims to resolve the issue of centralization through a free-floating reserve currency like OHM, which is supported by a basket of assets. Therefore, by staking OHM with OlympusDAO, OHM holders aim to receive SOHM at a 1:1 ratio. After OHM is staked, the SOHM balance seeks to increase automatically based on the current annual percentage yield (APY)

History of Staked Olympus (SOHM)

Olympus was ideated by Zeus and created by a pseudo-anonymous team.