> For the complete documentation index, see [llms.txt](https://docs.noon.capital/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.noon.capital/4.-usdnoon/the-staking-framework.md).

# The Staking Framework

Active vs. Open Staking: Aligning Commitment, Rewards, and Voting Power.

The <mark style="color:purple;">**Noon**</mark> Staking Framework is built on a single conviction: anyone holding <mark style="color:violet;">**$NOON**</mark> should be able to participate in protocol governance and earn yield.

To accommodate both ecosystem participants and open-market buyers, <mark style="color:purple;">**Noon**</mark> provides two distinct staking pathways built on the same underlying reward and voting curves:

1. Active Stake: Designed for users who **earn** <mark style="color:violet;">**$NOON**</mark> through protocol participation (i.e., <mark style="color:violet;">**$USN**</mark> / <mark style="color:violet;">**$sUSN**</mark> holdings and partner integrations).
2. Open Stake: Designed for users who **purchase&#x20;**<mark style="color:violet;">**$NOON**</mark> on secondary markets or complete previous Active Stake cycles.

## <mark style="color:$primary;">Active Stake vs. Open Stake: Side-by-Side Comparison</mark>

Here is a summary of the comparison between <mark style="color:purple;">**Noon**</mark>'s Active Stake and Open Stake programmes.

<table><thead><tr><th width="151.0909423828125">Feature / Parameter</th><th>Active Stake</th><th>Open Stake</th></tr></thead><tbody><tr><td>Target Audience</td><td>Users who earned <mark style="color:violet;"><strong>$NOON</strong></mark> via <mark style="color:violet;"><strong>$USN</strong></mark> and / or <mark style="color:violet;"><strong>$sUSN</strong></mark> holdings &#x26; partner protocols.</td><td>Holders of <mark style="color:violet;"><strong>$NOON</strong></mark> purchased on the open market, or completed Active Stake tokens.</td></tr><tr><td>Staked Asset Source</td><td>Protocol-earned <mark style="color:violet;"><strong>$NOON</strong></mark>, via Active Stake points (ASP).</td><td>Open market <mark style="color:violet;"><strong>$NOON</strong></mark>, or transferrable <mark style="color:violet;"><strong>$NOON</strong></mark>.</td></tr><tr><td>Reward Pool Engine</td><td>Monthly Active Stake Pool: higher base reward rate.</td><td>Monthly Open Stake Pool: lower base reward rate, plus rule-based protocol rollovers.</td></tr><tr><td>Reward Cadence</td><td>Monthly conversion cycles.</td><td>Monthly fixed pools with variable growth from rollovers.</td></tr><tr><td>Vesting Curve</td><td>12-Month Non-Linear Exponential Curve (10% to 100%).</td><td>12-Month Non-Linear Exponential Curve (10% to 100%).</td></tr><tr><td>Early Unstake Penalty</td><td>Retains rewards for last completed milestone; unvested rolls over to Open Stake Pool (next month).</td><td>Forfeits 100% of rewards; forfeited tokens roll into next month's Open Stake pool.</td></tr><tr><td>Voting Power Scaling</td><td>Based on vested <mark style="color:violet;"><strong>$sNOON</strong></mark> over a 48-Month Exponential Curve.</td><td>Based on initial staked <mark style="color:violet;"><strong>$NOON</strong></mark> over a 48-Month Exponential Curve.</td></tr><tr><td>Entry Timing</td><td>Instant staking upon month-end ASP conversion.</td><td>Stake requests queue monthly; activates on the 1st of next month.</td></tr></tbody></table>

### The Shared Exponential Rewards Curve

To heavily reward long-term commitment over short-term mercenary behavior, both Active and Open Staking share an identical non-linear, accelerating vesting curve over a 12-month period:

<figure><img src="https://3816918787-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FL26rQzcNmiUZrCXkxkjS%2Fuploads%2F9HGgQ7PHQw84FXP4zT7U%2FVestingFormula.png?alt=media&amp;token=68d1be58-0e29-46a0-92e0-a157500d88e5" alt=""><figcaption><p>Figure 1. Shared Exponential Rewards Curve </p></figcaption></figure>

Where *t* is the elapsed time (in months) and *T* is the full 12-month vesting duration. This translates to the following curve, in Figure 2.

<figure><img src="https://3816918787-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FL26rQzcNmiUZrCXkxkjS%2Fuploads%2FJTzxwbt1e5uZscBckU9g%2Fimage.png?alt=media&amp;token=ded06412-6af1-4bfa-a79b-f748a284efbb" alt=""><figcaption><p>Figure 2. Staking rewards curve for Active and Open Stake positions</p></figcaption></figure>

### Vesting Rewards Progression (12-month timeline)

<table data-header-hidden><thead><tr><th width="269.9091796875"></th><th width="137.1817626953125"></th></tr></thead><tbody><tr><td>Month 0 (Immediate Claim)</td><td>10%</td></tr><tr><td>Month 3</td><td>22.1%</td></tr><tr><td>Month 6</td><td>38.3%</td></tr><tr><td>Month 9</td><td>62.4%</td></tr><tr><td>Month 12 (Full Maturity)</td><td>100%</td></tr></tbody></table>

## <mark style="color:$primary;">Which Staking Path Is Right For You?</mark>

This simply depends on how you choose to participate in the <mark style="color:purple;">**Noon**</mark> ecosystem, and how you come by your <mark style="color:violet;">**$NOON**</mark> token (and token alloation).

### Choose Active Stake if:

You actively hold <mark style="color:violet;">**$USN**</mark> or <mark style="color:violet;">**$sUSN**</mark> in your wallet or deploy assets across partner protocols. Active Stake offers a higher base reward pool and allows you to retain partial milestone rewards if you need to exit early.

### Choose Open Stake if:

You acquired <mark style="color:violet;">**$NOON**</mark> on an exchange or wish to compound existing liquid <mark style="color:violet;">**$NOON**</mark>. Open Stake ensures that open-market buyers have full governance rights. Furthermore, the Open Stake pool is continuously boosted by tokens forfeited by early exiters—transferring value directly from short-term sellers to long-term stakers.\
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Complete details available in the following **Mechanics** pages, for **Active Stake** and **Open Stake**.
