Unstaking & Burn Mechanism
When you unstake, a percentage of your staked $ATLAS is burned (permanently removed from circulation). The burn rate depends on whether your stake is Pending or Active.
Burn Rates
Burn rates are configurable protocol parameters. The rate differs based on stake maturity — Pending stakes have a higher burn rate to discourage short-term staking.
| Stake State | Burn Rate | You Receive |
|---|---|---|
| Pending (not yet matured) | Public testnet currently 20% | 80% of the unstaked amount |
| Active (matured) | Public testnet currently 5% | 95% of the unstaked amount |
Burn rates are stored in ConfigDatum and can change. Check the Staking page for the current rates before unstaking.
How to Unstake
- Go to the Staking page
- Find your stake position
- Click Unstake
- Sign the transaction
You do not have to claim rewards before unstaking. On a full unstake, unclaimed rewards are paid to your wallet with the unstake transaction. On a partial unstake, unclaimed rewards stay with the remaining stake position.
What Happens
- Your stake position is closed on-chain
- Your $ATLAS (minus the burn amount) is returned to your wallet
- The burned tokens are permanently removed from circulation
Why Burn?
The burn mechanism serves two purposes:
- Discourages short-term staking: Higher burn for Pending stakes discourages stake-and-run behavior
- Deflationary pressure: Every unstake permanently reduces $ATLAS supply, benefiting long-term holders
Over time, as more users stake and unstake, the total supply of $ATLAS decreases.