# Hybrid Staking Protocol

We have developed a hybrid-staking protocol that allows us to combine the advantages of both active and passive staking.

Within the actual different staking structures, the team quickly realized that there was an actual way to make the actual staking meta more efficient and flexible. Before introducing our Hybrid Staking Protocol, let's first get an overview of both active and passive staking methods.

#### Active Staking

The active staking method is the most common protocol used and consists in transferring one or more NFT you possess to another contract that holds all the staked NFTs of one's collection. Upon actively staking your NFT (transferred), you begin generating a certain $token.\
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Your NFT being held on another contract, you then no longer have the ability to trade your NFT except if you **unstake** your NFT. This protocol allows for a lower circulating supply and usually creates a supply shock.

#### Passive Staking

The passive staking method is used in various projects and it usually has all the perks of the active staking method except that you maintain the actual NFT in your wallet; it is not transferred to a separate contract that holds all the staked NFTs. The generative process is continuous and attributed to a given NFT, so there is no need to transfer the token to another contract (action of staking). \
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That allows for a more **liquid supply** given the fact that holders can always buy or sell NFTs of this collection as they are not staked.

#### Hybrid Staking Protocol

Kazoku Holders will have the possibility to generate $OHZ in the active or the passive form, giving all the flexibility and control to our holders.

## Kazoku Staking Structure

Each Kazoku will generate 1,000 $OHZ per day. Certain bonuses will apply to your Kazokus yielding varying from a range of different variables:&#x20;

1. **Faction Victory Bonus**: If you hold a Kazoku from the victorious faction, there will be a bonus attributed to those you hold from this same faction (more info on the [Faction Challenges](/kazoku-whitepaper/kazoku-universe/citymap/faction-challenges.md) section). If your faction wins consecutively 2 or 3 weeks in a row, there will also be additional bonuses added to your Victorious Kazokus Staked.
2. **Number of Kazokus staked**: The more NFT you hold and stake, the higher the bonus.
3. **Active or Passive Staking**

### Passive-Staking Structure

Each Kazoku will yield 1,000 $OHZ daily. \
Each Genesis Kazoku will yield 3,000 $OHZ daily\
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On our Passive Staking Structure, there are no bonuses for the regular Kazokus added varying on the number of Kazokus you hold, only the Genesis Kazoku will benefit from a basis bonus.<br>

![Passive-Staking Structure](/files/mXhhiqz9zWezJVLIcj3X)

Genesis Kazoku will be the only ones benefiting from a basis 200% Bonus to yield an additional 2,000 $OHZ daily for a total of 3,000 $OHZ daily.

### Active-Staking Structure

On our active-staking structure, depending on different bonuses that applies to the different types of Kazokus you hold (Kazoku or Genesis Kazoku) and from different factions (Kisho, Kerath, Shokusa or Omazi), you will yield a certain amount of $OHZ daily.

![Active-Staking Structure](/files/uxvPP4vE1YGiAo0PN8Ik)

Holding 1 Kazoku still yields you 1,000 $OHZ daily.

If you hold 1 Genesis Kazoku, it will now yield you 5,000 $OHZ daily (400% base bonus).

*Kazokus counts are calculated separately from Genesis Kazoku. So if you hold 4 Kazokus and 1 Genesis Kazokus, they are counted separately so only the 3 Kazokus bonus applies to your 4 Kazokus and the Genesis Kazoku bonus applies to your Genesis Kazoku.*\
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On top of the Kazoku count bonuses, if you hold 1 or more Kazoku of the victorious faction, there will be a bonus on this Kazoku basis, calculated separately as well.

![Victorious Faction Bonuses](/files/wzlojiVOlJmxbV4gxfVW)

Bonuses for victorious Faction Kazoku are maxed after 3 Winning-Streak at 40% and stay at 10% for Genesis Kazokus.\
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Here is a concrete example:

![Bonus Synergy - Example](/files/YRMw4BTIYryhHK5TqFJQ)


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