My intention with this post is not to explain what the KE ratio is, but rather to tell the story of how I found out about it and what is my general take from it as of today.
for deeper understanding on what it is and how it is calculated, I share a post from @azircon which is just one of many explaining it:
@azircon/ke-ratio-a-personal-perspective
so for me it all started one day when I stumbled across a post about #apis-hive. when I started digging in I realized the project has certain criteria in place in order to be able to fully participate and enjoy all benefits.
one of this criteria was to have the KE ratio below 1.8
I wrote a post about the whole experience here:
@bigorna1/sharing-my-own-experience
image: https://apishive.blog/faq
after understanding it was needed, I needed to find a way to calculate my own KE.
#Apis-hive has a very active and supportive Discord group when all information can be found and all questions asked: https://discord.gg/dV6B9HyD
a simple app allows you to calculate your own current KE ratio in seconds: https://beebalanced.streamlit.app/
KE = (Author Rewards + Curation Rewards)/Held HP
so basically, by simply powering up more HP (staking), you can lower your KE number.
why is it good for the community to have more HP staked and hence a lower KE number ?
because staked HP can not be withdrawn impulsively in one go if any of us has a bad day, or the economy tanks or whatever other reason.
un-staking the full amount takes 13 weeks and hence provides protection to Hive from sudden major drops and shocks.
so, from my point of view, the KE ratio plays a role in bringing awareness about how are assets are divided and where they are placed in relation to the health and safety of the platform.
a short while ago, I was pleased to see that PEAKD.com have incorporated the KE ratio number into the front end interface where it is easily visible.
being aware of KE and what it means for the platform, helps me to consciously want to lower my own number and I achieve this by simply power up more instead of having my assets just sit there and by delegating more.
I have managed to take it down from the original 1.44 when I started to 1.13 at the moment.
thank you for stopping by 🙏
wishing us all a peaceful weekend.
published at 10:10