> ## Documentation Index
> Fetch the complete documentation index at: https://docs.saucerswap.finance/llms.txt
> Use this file to discover all available pages before exploring further.

# Single-sided staking

> How the Infinity Pool works: stake SAUCE for xSAUCE, earn a share of Unified BrewSaucer buybacks, and understand the rate math behind staking APR.

The Infinity Pool is SaucerSwap's single-sided staking system. Deposit SAUCE and you receive xSAUCE, a receipt token; the SAUCE-per-xSAUCE conversion rate started at 1:1 and rises over time as protocol revenue compounds into the pool. There is no lock-up schedule in the mechanism itself — you unstake by converting xSAUCE back to SAUCE at the current rate on the stake page.

xSAUCE is itself an HTS token: it counts toward your [governance voting power](/governance/overview), earns tiered [V3 trading fee discounts](/protocol/saucerswap-v3/fees), and can be used elsewhere in the ecosystem (for example, in xSAUCE liquidity pools).

<Frame caption="Unified BrewSaucer routes 40% of purchased SAUCE to the Infinity Pool, raising the xSAUCE conversion rate.">
  <img src="https://mintcdn.com/saucerswaplabs/bsO3b1cINxvhtR4Z/images/diagrams/xsauce-flow.svg?fit=max&auto=format&n=bsO3b1cINxvhtR4Z&q=85&s=4dbec59a941c8ea836292dab7ee7e8fd" alt="Diagram of SAUCE revenue sources compounding into the Infinity Pool and the xSAUCE conversion rate" width="940" height="420" data-path="images/diagrams/xsauce-flow.svg" />
</Frame>

## Revenue-backed rewards

The Infinity Pool receives 40% of SAUCE purchased through [Unified BrewSaucer](/tokenomics/overview#unified-brewsaucer-buybacks-and-burn). Those buybacks are funded by:

| Revenue source | Eligible value |
| - | - |
| V1 and V2 swap fees | The protocol fee-switch share, after liquidity providers receive their share |
| V3 order book fees | Taker fees net of maker rebates and applicable trader discounts |
| HBAR native staking rewards | Rewards earned by HBAR held in the WHBAR contract |

The WHBAR contract's HBAR balance is proxy-staked to a Hedera network node. Hedera native staking has no slashing or lock-up, so the balance remains available for wrapping and unwrapping. Check the [WHBAR contract on HashScan](https://hashscan.io/mainnet/contract/0.0.1456985) for its current balance.

Phase 1 ends the devcut contribution to xSAUCE: the 30% devcut tranche previously sent to Mothership is now sent to burn. Staking rewards therefore accrue from the revenue-funded buyback allocation, rather than that emission stream.

## Worked example

<Steps>
  <Step title="First staker sets the 1:1 baseline">
    User A is the first participant. They deposit 10 SAUCE and receive 10 xSAUCE — the initial 1:1 ratio.
  </Step>

  <Step title="Revenue raises the rate">
    10 SAUCE from the pool's share of revenue-funded buybacks is added to the pool. The pool now holds 20 SAUCE against 10 xSAUCE, so the rate is 1 xSAUCE = 2 SAUCE. User A could now redeem their 10 xSAUCE for 20 SAUCE.
  </Step>

  <Step title="New stakers enter at the current rate">
    User B deposits 10 SAUCE. At the 1:2 rate they receive 5 xSAUCE. The pool holds 30 SAUCE against 15 xSAUCE — the rate is unchanged. New stakers never dilute existing ones.
  </Step>

  <Step title="The rate keeps compounding">
    As more SAUCE revenue arrives, every xSAUCE is redeemable for progressively more SAUCE. Rewards accrue in the rate itself; there is nothing to claim.
  </Step>
</Steps>

## Calculating APR

The staking APR shown in the app is derived from the growth of the conversion rate:

$$
\text{Infinity Pool APR} = \left( \frac{R_f}{R_i} - 1 \right) \times 365
$$

where $R$ is the SAUCE/xSAUCE exchange rate, and $R_i$ and $R_f$ are the rates at the start and end of a one-day window. The rate updates once per day, so $\Delta t \approx 24$ hours. Because revenue varies day to day, displayed APR fluctuates; the stake page shows the averaging window it uses.

## Next steps

<CardGroup cols={2}>
  <Card title="Stake SAUCE" icon="layer-group" href="/tutorials/stake">
    Walk through staking on the stake page, including staking straight from HBAR.
  </Card>

  <Card title="V3 fee discounts" icon="percent" href="/protocol/saucerswap-v3/fees">
    How xSAUCE lowers your order book trading fees.
  </Card>

  <Card title="Governance" icon="check-to-slot" href="/governance/overview">
    Use SAUCE and xSAUCE voting power in the DAO.
  </Card>

  <Card title="SAUCE tokenomics" icon="coins" href="/tokenomics/overview">
    Follow the buyback allocation and separate devcut burn.
  </Card>
</CardGroup>


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