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LSD Bag
LSD Bag is a non-fungible token that represents the holder's share in the LSD Fund.
LSD Bag is created by staking the TIKU — knotting the bag. The amount that is put into the bag can not be increased afterward. After knotting the bag, a new NFT owning the TIKU is created and its age is set to 0.
Every day, the age of the LSD bag increases, which makes it more valuable.

Creation details

Minimum staked amount: 500,000 TIKU (may be lowered in the future) Knotting fee: 3% 0% (no knotting fee at the beginning) Unknotting fee: 4%

Bag value

The value of the bag is based on its age and the amount of TIKU staked in the bag. Therefore, the formula is value = age * amount. The bag value is used to represent the holder's share of the LSD Fund and their voting power in LSD Fund governance.

Dividends

Every 7 days, the loyalty staking dividends are distributed from LSD Fund into LSD Bags. Dividends are paid in the $KCS. After the dividends are distributed, the LSD Bag owner can either claim the dividend or exchange the dividend in the bag for TIKU, which is the only way of increasing the staked amount in the aged LSD bag.
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