Staking with the Verifier Network is now live!
The Attrace team is very pleased to announce the first steps towards opening the Attrace Verifier Network to ensure the promised trustless referral ecosystem. The Verifier Network is an essential part as it enables decentralized verification of user conversions.
Reflecting the Attrace core values, the team is developing an ecosystem that will eventually become a DAO, fully governed by its community and contributors, completely trustless and aligned with the web3 transformation that’s already happening in finance, gaming and socials.
This announcement is the very first step towards this ecosystem vision.
Attrace is hereby opening the doors to its community to start being rewarded for their service of providing security and trust in the Verifier Network.
Road to a decentralized Verifier Network
There is still some road ahead before it will be possible for anyone to run their own Attrace Verifier Node (also known as: Referral Oracle) and verify conversions in the fully decentralized manner. Before then, it is essential to first ensure the security and trustworthiness of the Verifier Network as a whole. This requires that sufficient $ATTR is staked with each Verifier Node and the network itself. Towards that end, we have taken the first step with the launch of the Attrace Pre-staking contract. The aim of the Pre-staking contract is to collect a sufficient amount of staked $ATTR before activating the Verifier Network.
In order for the Verifier Network to become open to any third party, the team has set the requirement to a min of 100.000.000 $ATTR tokens staked, which is 10% of the total $ATTR token supply. In other words, once 10% of all $ATTR has been staked, the network will open up to any third party interested in running a Verifier Node.
On the technical side, the Attrace team will focus on getting the Verifier Nodes ready for the stage when it can be operated externally. Inspired by Ethereum’s Beacon chain network activation, Attrace plans to roll out the Verifier Network in 3 phases:
1) Pre-staking: Holders can now deposit their stake in $ATTR to an Ethereum smart contract and become eligible to operate a Verifier Node. Pre-staking is now possible via https://attrace.com/staking, with the anticipated end date of April 16th 2022.
2) Operational Verifiers: Stakers run Verifier Nodes. The planned start date is May the 1st 2022.
3) Network Activation: The network will be open to any third party once sufficient stake has been reached (minimum of 100.000.000 $ATTR staked).
These 3 phases suggest that the Attrace team expects to open up the network to third parties from May 2022.
The first stage to open up the network is with Pre-staking, where $ATTR holders deposit and commit their tokens. For those interested, you can now start Pre-staking via https://attrace.com/staking :
(2) Operational Verifiers
The next phase starts when the Verifier Nodes are released and made available to be operated by the public (anticipated go live in May 2022). This second phase is of great importance, since it will make the $ATTR token holders who Pre-staked in phase one eligible to run Verifier Nodes once the network goes live. Please note: To run your own Verifier Node during this second phase will require a minimum stake of 50.000 $ATTR. For those that stake less $ATTR, it will be possible to take part in the delegated staking with a trusted node (more information will be provided at a later stage).
(3) Network Activation
The Verifier Network will go live once the required deposited stake has been collected (minimum of 100M $ATTR).
The opportunity to become an essential part of the network
This is a real opportunity for $ATTR token holders: Not only will token holders earn additional rewards but, more importantly, they will become a truly essential part of the network, a core participant in the architecture that aims to radically transform referral marketing in a future with web3.
All stakers will receive rewards as part of the staking budget. The staking budget has been set at 10% of the total tokens supply of $ATTR tokens (100.000.000 $ATTR).
The intention of these rewards is to incentivise the node decentralization, ensure security and kick-start the network. During the Pre-staking period, the rewards will amount to 10M $ATTR.
Eventually, it is expected that the network will be sustainable on the basis of protocol fees. In terms of rewards they are broken down as follows:
● Rewards during Pre-staking period: Staking rewards in $ATTR (10M $ATTR)
● Rewards during Staking period (anticipated in the first 2 years): Staking rewards in $ATTR (exact amount TBA) + Protocol Fee
● Rewards during Staking period (after 2 years): Protocol Fee
The Protocol Fee will be a % of the commissions paid out (in native tokens) by all the crypto projects and creators that are using Attrace referrals. Stakers will receive part of all these native tokens pro rata based on the size of their staking. Currently, the Protocol Fee has been set to 3%. Of course, once Attrace reaches DAO it is up to the community to decide if this rate is too high or too low.
How does Pre-staking work in practice?
● $ATTR Deposit: During the pre-staking phase, token holders will be able to deposit $ATTR token into the pre-staking contract on Ethereum. There is no minimum $ATTR tokens required to stake. However, if you are intending to run a Verifier Node, you will need to have at least 50.000 $ATTR tokens staked before operating a node in the later stages.
● Rewards: There will be a total of 10M $ATTR (1% of the total token supply) rewarded during the Pre-staking phase, which will account for c. 83K $ATTR daily rewards. Those who stake will receive $ATTR rewards based on their share of the total amount staked. The rewards can be collected after Pre-staking and are subject to a 12-month vesting period. This means that 8.33% of the $ATTR rewards earned during Pre-staking will be vested (free-to-use) each month after the Pre-staking is over.
● Commit period: The staked tokens will be committed until April the 16th, just before the Verifier Network is activated. The anticipated activation date is May 1,2022, on condition that a sufficient amount of staking has been achieved (a minimum of 100.000.000 $ATTR staked). It will be still possible to un-stake your tokens before April 16th 2022, however in that case you will incur a 5% penalty on the original amount of $ATTR tokens deposited, and you will also lose your claim to collect any rewards. This approach is consistent with the underlying purpose of staking: Staking has been set up to provide security and trust to the Verifier Network and only those who contribute to this will be entitled to rewards. Withdrawing the deposit before the Verifier Network activation doesn’t contribute to the security and trust of the network and is therefore not rewarded. Upon the Verifier Network activation, the stakers will be able to withdraw their $ATTR without any commit period based on the determined schedule, which will be announced in subsequent stages (e.g., X amount of $ATTR daily).
Moving to the Phase 2
At the end of the Pre-staking phase, you will be able to connect and run a Verifier Node. Do not worry if you feel insufficiently tech savvy to operate a Verifier Node yourself as, by then, it will also be possible to contribute to the security and trust of the Verifier Network by staking with another Verifier Node (trusted by you) and earn your rewards.
The Attrace team is wishing you happy staking.