DAO Staking was designed as an extra incentive for the early DAO participants. In addition to voting power, you also receive rewards from the DAO rewards pool.
We have currently preloaded the pool with 50,000,000 that will run for 50 weeks. The amount of your $XYZ staked against the total amount of vXYZ staked will determine your percentage of the rewards. Below you can see the breakdown of the specs.
Our Supernova staking contract is a new contract, distinct from the Liquidity Mining & Yield Farming contract system. This staking contract and rewards work in a continuous manner. So you stake for 5 days you get 5 days worth of tokens. You can come and go as you please. You will manually need to claim your reward $XYZ tokens though.
We want to make it clear that the reason for the xyzDAO to have rewards is to incentivize users to actually participate in the governance system. The best way to do that is by rewarding early participants with more influence in the governance system.