# Stake Your OWL {% hint style="info" %} **Good to know:** The yield you earn is highly dependent on the volume and user activity on OwlSwap! {% endhint %} ## How it works **xOWL is an IOU that holds your place when you stake your OWL. The Longer you hold xOWL the more likely you will be able to cash out more OWL for each xOWL you have. OLP SwapFees will be converted to OWL with the OsDistributor, 70-80% of the OWL is distributed to Stakers/xOWL holders, 10-20% of OWL is burnt.** \ \ **For example: you deposit 1 OWL which equals 1 xOWL . In 1 months time you will be able to redeem 1.01 OWL per each xOWL. If you ever want to get back into the pool it will cost more OWL . You would have to deposit 1.01 OWL to get 1 xOWL and re enter the pool. You will always get back the same amount of OWL you put in and more, depending on the rate that Swapfees are sent to the OWL Foundry contract.**\ \ **If the xOWL pool is very diluted the rewards decrease. If the APY is blank it is likely because it is still in decimals because the rewards are small and diluted.**\ \ **Essentially the OS Foundry system will start as 1 xOWL = 1 OWL. Over time as OWL is sent to the OSFoundry staking contract it will distribute it among stakers. 1 xOWL will start to equal more than 1 OWL over time.**\ \ **xOWL is created and burnt based off of the OWL that is staked and unstaked.**\ \ **xOWL can be double staked in the farm with zero impermanent loss risk.** {% embed url="" %} --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.flaretopia.com/owl-swap/guides/stake-your-owl.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.