🌀Staked positions (spNFTs)

Working Principle:

All Dalmatian LP establishes distinct staking positions, referred to as spNFTs, which users can generate by converting LP tokens through a process known as wrapping (depositing them into the relevant contract).

When initiating a position, the deposited amount is transferred to a corresponding NFTPool contract, resulting in the issuance of a staking position NFT (spNFT). This NFT can be referred to as a deposit receipt, signifying ownership of the staked position.

These receipts, in fact, serve as exclusive access to withdraw the associated funds, regardless of who employs them. This implies that the holder of an spNFT is vested with the genuine ownership of the corresponding LPs, even if they weren't the original depositor.

However, these staked positions transcend the function of mere receipts. They take the place of conventional farms that generate yield, a characteristic common in many DeFi protocols.