New System of Analysts Motivation
As promised earlier this year, starting from our November prize fund distribution, we are rolling out the first iteration of a completely new, more flexible, deep, and fair system of motivation for the active analysts of Cindicator’s ecosystem.
The fundamental difference of the new system is that instead of only ratings leaders receiving prize money, all analysts with a positive balance of monthly scores will enjoy a financial reward.
This is the newest leap forward in the ongoing development of our socio-technological Hybrid Intelligence platform, and so we have worked extra hard to develop this new and more inclusive financial compensation model for our valued analysts.
Our direction has received great support from core ecosystem members in our pilot sprint. As you can see, this task received the largest number of votes from all participants, and therefore we have placed it in our first sprint.
Below we explain the innovations of our renewed reward scheme using the example of the already-completed November stage. {https://docs.google.com/spreadsheets/d/1_2jqXclXI6ykbkyWedJ_rCz-7lEWEdKzlrdCZvClzbA/edit#gid=496885451}:
1. Reward for the minimum viable action (MVA).
Now all analysts who finish the month with at least one positive score will be eligible for financial compensation. Thereby, each point earned increases the total reward for the analyst in accordance with the entered group, which we call “stake” (we explain this concept later in more detail).
As you may remember, October’s prize money was distributed among only 70 analysts (50 in traditional markets challenge and 20 in crypto challenge). In November, financial compensation for analytical work will be received by all forecasters who scored at least one point in the November ranking, i.е., 2,382 analysts in traditional markets and 2,649 in crypto markets..
To withdraw the prize money to your wallet, you will need to accumulate an amount equivalent to $10 or more. Don’t worry if you won less than $10 — your points will be kept and transferred to the next month.
2. An increase of the monthly prize fund.
To raise the level of motivation and engagement of the system’s analysts (especially against dilution of the fund due to more participants), we’ve increased the total monthly prize fund for the traditional markets from $ 2,300 to $ 6,000 and for the crypto market from 0.7 to 1 Bitcoin.
This month, the prize will be paid in ETH only (the rate is fixed at the time of calculating the monthly ratings). However in the future, with the development of the motivational pool from Cindicator’s products sales, we will distribute our rewards in CND tokens.
3. Rapid feedback of valuable actions for instant analyst gratification.
In our previous reward model, analysts had to wait one month to enjoy the first positive feedback and rewards for their analytical work.
In our renewed model, analysts will be able to see their points balance as soon as the question is closed, and their current financial compensation balance. Users will also be able to see the results in our public Google table that we will update several times per week. We have already started development toward our next iteration, where analysts will be able to see their balances inside the Cindicatorour platform at the Statistics, Ratings and Profile screens.
In December we will also launch the first iteration of weekly special nominations for instant prizes across some special categories:
Here are some examples of these nominations:
• the closest hit in the price forecast;
• the most accurate hit in the one/two-price question, which in our opinion is the most difficult to predict (Black Swan Prize).
In the first iteration, we will strike the balance of nominations manually through mailing lists; in the next iterations, this functionality will be included in the platform.
4. Echelons and stakes — a deeper and fairer motivational system.
To create a fairer dependence between the intellectual work of analysts and their platform achievements, we’ve created a unique system for separating rating positions and awards (“stakes” that depend on a certain achievement and strategic capability within our Hybrid Intelligence ecosystem).
What are echelons?
By examining examples of the nature’s communities and collective intelligence (flocks of birds, shoals of fish, swarms of bees etc.), we find inspiration from the Golden Ratio and its mathematical basis — the Fibonacci sequence (1, 1, 2, 3, 5, 8, and so on).
This is how we determine the number of different levels (echelons) and their positions in the system (the first echelon — 10 places in the ranking, the second — the next 20 places in the ranking, the third — the next 30, the fourth — 50th, fifth — 80th, sixth — 130th, seventh — 210th, eighth — 340th, ninth — 550th, 10th — 890th, and 11th — 1,422nd).
As our ecosystem and community grow, it will naturally become increasingly difficult to reach the higher echelons and hold those positions, and the growth in the number of echelons will slow as the size of echelons grows.
So we decided to start the first iteration to motivate analysts to develop their level and expertise: the more productive the analyst — the higher the echelon they reach. Furthermore, the bigger the “stake” of the growing monthly prize fund they receive, and the greater influence they have in developing our Hybrid Intelligence system.
What are the “stakes” of echelons?
Types of stakes:
• the number of points earned;
• the tier of echelon at the end of the month.
In the next iterations we will implement additional stakes, rewarding forecasters for maintaining a positive stable result in the long term:
• retention of place within an echelon during N-months;
• an increase in echelon standing compared to the previous month.
The “stakes” are the proportions of each month’s prize fund divided between all analysts depending on their achievements. The largest proportion stakes are allocated to those reaching the upper echelons and are then presented in descending order. The proportions are defined to ensure a significant reward for those participants who remain in our upper echelons with the additional stake distributed among all analysts directly in proportion to the points they earn.
5. Super-motivation for hyper-forecasters.
In addition to our major updates of Cindicator’s financial reward scheme, we are launching a system of non-financial motivation for our high-level forecasters. Starting from the December rating, participants from our first echelon will be able to receive an analysis of their results and publish their CV in the leaderboard section of the Cindicator website.
In addition to public recognition, this achievement could help to fundamentally change your professional path. We have already opened the way for a few of our leading forecasters, who have landed new jobs with leading global investment companies due in part to their Cindicator rankings. Keep your predictions coming and it might be you who’s chosen to lead the analytical department of Michael Arrington’s new $100 million crypto-fund (http://fortune.com/2017/11/28/arrington-xrp/).
In the future, your echelon tier will be one determining factor in gaining access with special conditions to the analytical products of the Hybrid Intelligence ecosystem. We are also planning to release a number of unique indicators available only to hyper-forecasters (not available to purchase), and develop community votes with voting unlocked by echelon level..
Once again, you’re making a fantastic contribution to the next generation of financial analytics, and we humbly thank each of you for your invaluable support. We hope that the architecture of our new reward system keeps you engaged and making predictions so that together we can continue to establish Cindicator as the world’s leading Hybrid Intelligence platform for smarter asset management.
We will continue to work on optimising our motivations for ecosystem participants and will of course keep you informed on all further improvements. Until then, may your predictions be many and accurate!
Yours,
Cindicator Team.
