Introducing The First Generation Sway Creator Staking Pools

The most critical product development since the launch of Clout.art is happening this week. Learn more about how you can stake with your favourite creators and earn up to 99% APR during the promotional period.

“Staking is the new following.”

In our article, Powering Creator Economies with NFTs, published last May, we told you how passionately we believed that NFTs and DeFi would change the landscape for creators, ushering in a new era we call the Creator Economy. This Creator Economy is no longer in the future. It is here, now, and Clout.art and the Sway Social are at the forefront of it.

As Jarrod Dicker said, the advent of Web3 has ushered in the We Economy, where creators and collectors can earn returns together through the democratisation of value to all participants. Now, you can experience this for yourself in the first generation of our creator staking pools.

What are creator pools?

The easiest way to explain Sway creator pools is by comparing them to their more familiar cousins, liquidity pools. They both operate on a simple principle of a majority locking in value in the form of native cryptocurrency in return for future, and to some extent, predictable, rewards.

Value is generated through different mechanisms. The most sustainable cases are based on borrowing/lending or fees collected by the AMMs. With Clout.art’s creator pools, value generation is tied directly to the successful sale of an NFT.

Upon a successful sale, the value generated enters the economic equation, and the pool distributes rewards to all participants of the creator staking pool. This mechanism incentivises both the creator and the staker without creating a new currency, or social token, thus minimising friction within the system.

The Total Value Locked (TVL) in a single creator pool becomes an indicator of the creator’s success. Creators can compete to increase their TVL, which acts as a clear market signal to collectors. The more tokens held in a creator staking pool, the more token rewards stakers earn because of the solid market performance by the creator.

First-generation: Promotional staking

To work at maximum efficiency, we need to rapidly increase the number of creators on our newly launched platform. To date, creators have minted more than 3500 NFTs, and more than 10,000 users have interacted with the platform. This first-generation staking program is designed to work during this build-up period, thereby offering a first real taste of the new creator economy while we drive platform participation towards critical mass.

The first generation staking pool offers a promotional APR instead of returns from NFT sales.

However, the first generation staking pool will secure you a position in the pool of your favourite creator. You can stake with any Instagram or TikTok username that you believe will join the platform in the future. In this dynamically calibrated system, a better initial position in the pool will yield higher rewards.

Clout.art is offering three staking tiers.

Terms:

• Staking available from Nov 1, 2021, to March 31, 2022.
• You can only stake unlocked/vested tokens.
• Minimum amount to stake (minimum position amount) is 1,000 SWAY.
• Staking will be available in 3 tiers 99, 66 and 33.
• 99 is available only in November and will lock up the stake for 9 months with a promotional 99% APR on the principle.
• 66 is open from November to January and will lock up the stake for 6 months with a promotional 66% APR on the principle.
• 33 is available throughout the promotional staking period November to March and will lock up the stake for 3 months with a promotional 33% APR on the principle.

• Rewards will not be added to the principle and will be made available for claiming through Xportal in thirty 30 days after they accrue.
• Once the staking period is over, the stake will remain in the pool and will need to be claimed.
• If a stake is withdrawn from the pool, the position in the pool is lost.
• Stake can’t be partially withdrawn (meaning that if you’ve added an additional position, upon withdrawing, you lose all existing positions).

Example: For staking with 99, the stake must be activated in November, ie. November 16, but the first reward will be paid on Dec 16, 2021. The last reward will be paid after nine months on Aug 16.

Another example: For staking with 66 that started in January, ie. January 1, the first reward will be paid on February 1, 2022. The last reward will be paid on July 1, 2022.

How to stake

Coming soon! We will release a detailed instruction guide on how to participate and stake your SWAY with your favourite creators in the following days. Stay tuned for more!

About Clout.art

Clout.art powers the creator economy of the future by turning the most valuable content, such as your most successful Instagram posts, into unique NFTs. As a microservice, a marketplace, and a staking platform, Clout.art is where creators and fans come together to create, grow or exchange social capital through the $SWAY token.

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