Future Venture
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Future Venture

Lithium Staking v2

The all-new staking for the Lithium Launchpad

After the success of the first 2 IDO’s on Lithium, we have been listening to and taking on board the feedback from the wider community. Whilst the allocations have held up well and the oversubscription algorithm has done what it was created to do, we understand that there is always room for improvement. Encompassing our BUIDL ethos and investor first approach, the team has been working on new and revised tiering mixed with innovative staking pools. The new setup will work to incentivise longer-term staking on the platform through enhanced and new reward options.

Problem Set

Under the existing staking structure on Lithium there exist opportunities for investors with larger amounts of liquidity to buy Evangelist Tier, benefit from the allocation and airdrop, then immediately sell off their $EBSC tokens when the IDO finishes. This creates turbulent sell-offs after IDO’s which are visibly annoying the wider investor community and stagnating the progress and growth of Lithium with periodical selling pressure when it should be the polar opposite. It was very quickly evident that immediate staking was not the solution we or the community needed.

Additionally, there was a distinct lack of incentive for bigger bag holders who typically have been invested in Lithium since the very earliest stages. The team had to address the issue of adequately rewarding our biggest investors whilst ensuring smaller bag holders received the same level of attention when building out incentives. The current system simply provides reflections for every wallet holder, and then native airdrops for the top two tiers (on top of the allocations for each tier in an IDO). The team had to revise the existing set-up and devise new features, a task that we have all but finished.

Staking Solution

We have gone over what we want to achieve and deliver from a new staking structure with a fine-tooth comb. Incentivising and rewarding are at the heart of the new structure, providing people great flexibility and optionality and making sure no one feels they are being held prisoner. Each tier has undergone revision and every old and new reward has been greatly scrutinised to make sure it delivers the benefit we want to provide our holders as we intended it to.

Previous Staking

Old Staking tiers and rewards

The previous staking was oversimplified providing no real incentive to hold $EBSC over time for investors with larger amounts of liquidity. The instant staking/unstaking mechanism facilitated sell-offs, and the top tier of 7,000,000 was not big enough to effectively incentivise our biggest bag holders.

For this reason, we have devised the new staking structure which will be delivered alongside the new token.

New Staking

New Staking tiers and rewards

The new staking structure will have 4 available pools; No Lock, 30 Day Lock, 60 Day Lock, and 90 Day Lock. These have been chosen to provide investors with the greatest choice to accommodate their investment outlook and strategies.

No Lock
To dissuade instant staking/unstaking there will be a new 5% transaction tax paid in BNB on the No Lock tier. This will be used to buy back $EBSC from the market to help mitigate against any dumps in price after IDO’s. The allocation for the tiers is also 50% of what they were and the airdrops are turned off for this tier. We believe that investors who want the benefit and luxury of instantly staking/unstaking have to pay a premium over investors opting for token lockups.

30 Day Lock
The 30 Day Lock remains largely unchanged other than there is no transaction tax applied, and the allocations increase slightly. The top two tiers now receive their airdrops for all IDO’s in this 30 day window.

60 Day Lock
60 Day Lock is another reflection of the 30 Day Lock, with slightly increased allocations, approximately 75% of the original allocation amount.

90 Day Lock
This tier is where the real innovation, reward, and incentives come into play. Every tier gets back its full allocation which everyone will appreciate for having their tokens staked for 3 months. Additionally, every tier will receive the IDO airdrop which is a huge incentive for the lower two tiers to stake for the full 90 days. This is a thank you from the Lithium team for supporting our project, and regardless of your buying power having you benefit from the projects you’re buying into through IDO’s.

As you can see, there is a new airdrop on this tier. Strategists and above will benefit from a BNB airdrop which is a portion of BNB raised by our IDO projects and distributed in the same weighted fashion as the IDO token airdrop. A hugely exciting addition for the top tiers and we believe incentive enough to warrant that 90 Day Lock.

What’s Evangelist PRO we hear you ask? Well… Lithium loves all our investors and we have been hearing that the bigger bag holders want a reason to hold significant numbers of tokens. This is that reason. Evangelist PRO stakers will benefit from all the rewards mentioned so far along with one hugely exciting unique incentive. For Evangelist PRO investors, the allocation for each IDO increases to $3,500 and is excluded from the oversubscription logic. This means for our largest investors and earliest supporters, every cent you invest in an IDO will be converted into IDO tokens.

Summary

To summarise our Staking v2 updates:

  • 4 New Pools
  • 1 New Tier
  • New BNB Airdrop
  • All tiers receive IDO airdrop in 90 Day Lock
  • Evangelist PRO exempt from oversubscription logic
  • Transaction Tax on No Lock pool to buyback $EBSC

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Future Venture is a publication from Lithium Ventures, covering IDO’s, announcements, and opinion pieces.

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Lithium are a seed and pre-seed crypto venture capital and incubator platform. We exist to power real utility in early-crypto.

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