If you've been following the PWR project over the past few months you'll know that I've been tinkering with the concept of “Staking Rewards” around the PWR token.
I'm happy to announce that from now on, Staking PWR now yields Liquid HIVE.
Background
The idea around "staking" quite is simple, you stake PWR on Hive Engine (1 day lock) and receive more PWR as an incentive to stay.
But as I have already made it known on more than one occasion, the solution provided by Tribaldex “Mining Contract” is not to my liking.
- It necessarily mints new tokens.
- Penalizes small stakers and favors large ones.
- Every small change costs BEE (not my business though).
For that reason I developed a small solution on my own.
PWR Staking -> HIVE liquid
The solution is very simple.
There's a new account under the PWR Umbrella (@pwr-staking-rwds) which holds liquid HIVE.
My code checks once a day accounts holding staked PWR, then proceed to send 1% of it's HIVE balance as a reward to PWR stakers (according to PWR staked, obviously).
This means that if on day 1 there are 1000 HIVE in the account, the first day it will send 10 HIVE, the second day 9,9 (1% of 990) and so on... slowly autoregulating itself over long timeframes.
If my ventures outside of the Hive chain go as expected, expect a % of this money flowing back to PWR stakers.
It's kind of funny these Defi Games. Slowly PWR is going full circle.
Hive Power Delegation -> PWR Staked -> Hive liquid -> Stake & Repeat
Testing Phase & Expected Rewards
The bot has been working without incidents for a few days, and I'm currently in the process of monitoring while I slowly top up the account.
Between now and September, my intention is to roughly respect the nominal rewards in PWR (if I had not made this change). This equals approx to 5 HIVE in daily rewards.
With currently 32K PWR staked, this equals to a 5,7% APR paid in HIVE. Still unsure if I should stake some of my own stack but whatever.
We will see. Still a few key things to decide. Thanks for being around :)
Overall it's been a few hard months on the personal side of things.
Stay strong out there.
- Check the Public Portfolio
- Join the PWR Discord for doubts
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