DAO System

The DAO System in Tap King is designed to provide a seamless and rewarding experience for users who participate in staking. After the staking period ends, users' Off-Chain TKG tokens are unlocked and transferred into the DAO Pool, where they can earn daily returns in On-Chain TKG tokens.

---

1. How the DAO System Works

• After a user completes their staking period, the unlocked Off-Chain TKG tokens are automatically deposited into the DAO Pool.

• Based on the duration of the staking period, the amount of time the Off-Chain TKG tokens remain in the DAO Pool and the annual return rate vary.

• The DAO Pool distributes both the principal and interest daily in On-Chain TKG tokens directly to the user’s wallet.

---

2. Staking Durations and DAO Pool Terms

Staking Duration	Time in DAO Pool	Annual Return Rate
3 months	12 months	3% per year
6 months	9 months	4% per year
12 months	6 months	5% per year

• The longer the staking period, the shorter the DAO Pool duration, and the higher the return rate, offering greater rewards for long-term participants.

---

3. Daily Rewards in On-Chain TKG

• Users receive their earnings (both principal and interest) daily in On-Chain TKG tokens.

• This structure provides users with consistent rewards and liquidity, allowing them to use or reinvest their tokens as they see fit.

---

4. Benefits of the DAO System

• Enhanced Rewards: The DAO Pool offers attractive returns based on the user’s staking commitment, encouraging long-term participation.

• Daily Liquidity: By distributing both principal and interest daily, users benefit from improved cash flow and flexibility.

• Ecosystem Growth: The DAO System incentivizes user engagement, enhancing the overall stability and growth of the Tap King ecosystem.

• Trust and Transparency: The automated mechanism ensures fairness, and users can track their rewards transparently on the blockchain.

---

The DAO Pool's daily payouts in On-Chain TKG include both the principal amount and the accumulated interest, ensuring users receive consistent returns throughout the DAO Pool duration.

---

The Tap King DAO System not only maximizes the value of users’ tokens but also reinforces their active participation in the ecosystem, driving sustainable growth and rewarding long-term commitment.