> For the complete documentation index, see [llms.txt](https://parabolafi.gitbook.io/parabola/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://parabolafi.gitbook.io/parabola/introduction/staking-and-liquidity-providing-rewards.md).

# Staking and Liquidity Providing Rewards

## Vesting Pool and Staking Pool <a href="#e9cf" id="e9cf"></a>

Liquidity providers receive PRB rewards that vest for 3 months. Rewards can be claimed before the end of the vesting period but are subject to a 50% early exit penalty.

PRB from the early exit penalty is distributed to the users with locked PRBs in the staking pool. The most loyal PRB holders will stand to gain the maximum benefit upon conclusion of the selected locking period.

The users with locked PRBs in the staking pool receives trading fees as well as the PRB penalty revenue from people who exit the vesting PRB pool early (before the end of the 3 month vesting). The users with staked PRBs in the staking pool receives trading fees only, but it has no mandatory lock-up.

{% content-ref url="/pages/ZjCfprCHd5Ck3NGSfI5b" %}
[Staking PRB](/parabola/guides/staking-prb.md)
{% endcontent-ref %}

{% content-ref url="/pages/-M\_Ya3kGyUIe5V5sa1B8" %}
[Staking LP Tokens to Earn PRB](/parabola/guides/staking-lp-tokens-to-earn-prb.md)
{% endcontent-ref %}
