Key facts
- Supply started at zero: no pre-mint, team, VC or airdrop allocation.
- PAPER is minted on realised losses and liquidations.
- At launch PAPER cannot be transferred, only staked and unstaked.
- Staking and unstaking are instant, with no lockup.
How PAPER is minted
Every losing close and every liquidation mints PAPER to the trader. The amount follows an on-chain emissions curve: a fixed share of the current PAPER supply per dollar of eligible loss. While the pool is below zero, the part of a loss that refills it counts up to 5 times, with the bonus rising over the first three days below zero. That makes PAPER mint fastest exactly when the protocol most needs trading activity.
A fair launch
There was no pre-mint, team allocation, investor allocation, airdrop or vesting schedule. Every PAPER in existence was minted to a trader through a loss. At launch it cannot be transferred between wallets.
What staking pays
Staked PAPER earns USDC from two sources:
- Half of every trading fee. Winning closes pay a 2% fee on the gain; losing closes and liquidations carry a 2% fee taken from the pool's side, not added to the trader's loss. Half goes to stakers. Fees are paid only while the payout queue is empty, because queued winners always come first.
- LP surplus. Once the pool's tracked profit grows past a $5M cap, everything above the cap can be distributed to stakers.
How to stake in the terminal
- Open the terminal and connect your wallet. The PAPER panel shows your unstaked, staked and claimable amounts.
- Enter an amount and click Stake. Your wallet signs the request; no gas is needed.
- Click Claim any time to move your accrued USDC to your trading balance. Unstake is instant.
Staking actions are signed by your wallet, not by the session key, so you will see a wallet prompt for each one.
PAPER rewards depend on future trading activity and the state of the pool. They are not guaranteed, and losing money to earn PAPER is never a good trade on its own.
Try it with a small size first
Connect a wallet, deposit at least 10 USDC and start with low leverage.