Convertibility & Redemption

KDK and xKDK offer a unique mutual convertibility, but the conversion process varies depending on the direction chosen.

KDK & xKDK Conversion: At any given moment, KDK can be instantaneously converted into xKDK at a 1:1 ratio. xKDK & KDK Redemption: The redemption process for converting xKDK to KDK incorporates a vesting feature, allowing users to customize the vesting duration based on their preferences. The conversion ratio will increase proportionally with the vesting duration:

• The minimum vesting duration of 15 days will provide a 1:0.5 ratio.

• The maximum vesting duration of 6 months (180 days) will provide a 1:1 ratio.

• If the selected vesting duration is lower than the maximum (ratio < 1:1), the unclaimed excess KDK is forfeited by the user (and distributed to other users via the xKDK Staking Rewards Utility Module).