Launch HNY Staking
Proposal Information
Proposal description:
This proposal is meant to kickstart HNY staking. There will be 2 staking tiers.
A) Locked staking with 70% APY capped at 150 HNY, min lockup period of 365 days.
B) Open staking with 40% APY capped at 80 HNY. No lockup required, rewards are accrued daily but can only be withdrawn after every 30 days, withdrawal before the 30 days maturity will result in loss of all accrued yield. unclaimed yield are compounded, stakes start to yield rewards 24 hrs from when staked.
Proposal Rationale
As it currently stands, there is little incentive from holding HNY, most people find it easier or are tempted to just sell off their earned HNY than holding it. Honey’s only real purpose is 1Hive governance. In as much as this is a powerful enough reason to hold the token of a unique DAO such as 1Hive, sadly it only beckons to a small niche of people that believe in 1Hive and wants to actively be a part of building and shaping it. We need to create as many use cases as possible for the HNY token so it can continue to increase in value. HNY staking is just one way to create a new use case for the token.
It creates a way for other people that are not necessarily interested in governance to also contribute and add some value to the ecosystem while we reward them for it.
The farming experiment has demonstrated that there are people willing to invest in 1Hive purely for profits. We have to capture these class of investors through something that will benefit them and at the same time the Hive. I believe staking will be useful. Some of the benefits are
- Rewards and encourage people who support the 1Hive ecosystem by holding HNY.
- It automatically creates a new utility use case for HNY.
- It will help the demand pressure for HNY which translates to price appreciation as people lock in their HNY or buy HNY to stake.
- Less sell pressure as HNY is locked up and holders are incentivized for hodling.
- High probability of new stakers joining the community and becoming active bees.
- Add yours*
Expected duration or delivery date (if applicable):
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Team Information (For Funding Proposals)
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Skills and previous experience in related or similar work:
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Funding Information (For Funding Proposals)
Amount of HNY requested: N/A
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More detailed description of how funds will be handled and used: N/A