> For the complete documentation index, see [llms.txt](https://dracodex.gitbook.io/dracodex/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://dracodex.gitbook.io/dracodex/overview/semi-stable-usddraco/staking.md).

# Staking

Holders of $DRACO can choose to stake their $DRACO, where staking is an ERC-4626 vault. Staking yields two types of rewards: 

1. 2% of the 5% tax on all $DRACO sells is distributed to all stakers
2. 1% tax is levied on all unstakes, which is given to the remaining stakers. 

This mechanism rewards stakers and long-term holders. Combined with the continuously rising RFV, stakers will be able to continuously increase their earnings as the protocol develops.