Savvy Booster is a reserved allocation of SVY for users with an open borrow position and a veSVY balance. veSVY is accrued by staking SVY. Boosted yield earns the user SVY.
The Savvy Booster promotes healthy protocol use by providing Savvy protocol users:
- Borrowers benefit because their open borrow position earns them SVY.
- Stakers benefit because their veSVY helps earn them SVY.
- SVY holders benefit because staking (the method to acquire veSVY) removes SVY from circulation.
Savvy Booster rewards are calculated using a function of user's and protocol's total veSVY and outstanding credit balance multiplied by the boosted reward pool. The following equation is used to calculate the Savvy Booster rewards:
Your SVY rewards
Total protocol debt
Rate of SVY emissions