KINT Staking Rewards can be Activated

5 Comments

Summary

Staking rewards are ready to be activated, according to the Kintsugi tokenomics: 5% of 4 year supply (i.e., 500k KINT), emitted linearly (i.e., 125k KINT per year).

Proposal

Kintsugi’s governance model requires KINT to be staked to participate in voting. The more and the longer KINT are staked, the more voting power a user receives - and hence the more staking rewards. Rewards are distributed proportionally based on the voting power - so called vKINT (Note: vKINT is not a token and cannot be transferred. It is only a measure of an account’s voting power).

Staking is already active - but no rewards are currently distributed. Rewards are important to incentivize active staking and governance participation which is critical for Kintsugi’s security and growth as an ecosystem.

The staking user interface has been added to the Kintsugi Dapp (https://kintsugi.interlay.io/staking) making it easy for both beginners and advanced users to stake and participate in governance.

The next step is hence to activate staking rewards via an on-chain governance proposal.

Fellow Kintsugi innovators - as always, we appreciate your time reviewing this proposal and welcome comments and feedback.

Resources

Kintsugi Governance 101: https://docs.interlay.io/#/kintsugi/governance
Governance guides: https://docs.interlay.io/#/guides/governance (incl. how to make a proposal)
Kintsugi tokenomics: https://docs.interlay.io/#/kintsugi/tokenomics

Up 6

Comments

basamiah

will early staker get more rewards than later stakers? current apr is 0 so that would be a good incentive

Up 2

alexei

Staking rewards are computed based on your share of the total stake. So, by design, earlier stakers receive more rewards (since the same amount of rewards is split among less people).

The APR currently shows 0 because rewards are not yet active - this requires a governance vote, which is what I am suggesting in this post :)

Up 1

RulingTheMarkets

My 2c - I think a KINT to vKINT ratio of 1:1 assuming a lock of 96 weeks is to long. Kusama is intended to be fast moving and agile. I think a 96 week lock to achieve a 1:1 ratio is not in the spirt of Kusama. 3 months max for a 1:1 ratio. Interlay should have a longer lock. Let's get this party started!

Up 1

RulingTheMarkets

Part 2 - I also think we should be able to stake our full position not just the unlocked portion. Tokens represent ownership - free or locked - and if vKINT is to encourage owners to vote for / be involved in Kintsugi than our entire position should be stakeable.

dom

Good comments!

My 2c - I think a KINT to vKINT ratio of 1:1 assuming a lock of 96 weeks is to long. Kusama is intended to be fast moving and agile. I think a 96 week lock to achieve a 1:1 ratio is not in the spirt of Kusama. 3 months max for a 1:1 ratio. Interlay should have a longer lock. Let's get this party started!

I tend to agree that Kusama is more fast-paced, but it makes sense to differentiate between people willing to lock3 months vs 96 weeks. But maybe that is more a psychologic point and you mean that people staking 1 KINT for e.g. 2 months should then receive 2 vKINT?

Part 2 - I also think we should be able to stake our full position not just the unlocked portion. Tokens represent ownership - free or locked - and if vKINT is to encourage owners to vote for / be involved in Kintsugi than our entire position should be stakeable.

That is possible now!