Closing Stakes

A user may close a stake at any time. Depending on the stake's status (where the stake is in its lifecycle), different things will happen:

• Closing a Pending stake - the stake shares are destroyed. The entire stake principal is minted back to the user, without interest or penalty.

• Closing an Active (premature) stake - the stake shares are destroyed. The stake principal is penalized (see below) and minted back to the user along with all interest accumulated thus far.

• Closing a Mature stake - the stake shares are destroyed. The entire stake principal and all interest accumulated is minted back to the user. There are never any penalties for closing a Mature stake, no matter how late.

The penalty deducted from the principal (staked WISE) when closing an Active stake is as follows:

If the stake is one day long:
  penaltyAmount = stakedWise × 0.1
        
If the stake is two or more days long:
  penaltyAmount = stakedWise × (.1 + .8 × ((daysLeft - 1) / (stakedDays - 1)))

Thus, if you close an Active stake that was 100 days long on its final day before maturity, you get a 10% penalty applied to the principal. If you close the same stake on the first day of it being Active, you get a 90% penalty. The penalty scales linearly between those two extremes.

Any such WISE penalized from a stake's return is earmarked for distribution to all active stake shares that day. These penalty distributions are only realized by those stakes' shares when each of those stakes end.