Reward Mechanism Explainer (Updated!)
Tl;dr:
- Users earn rewards for voting in each round.
- The rewards for each round are calculated based on voting participation relative to total voting power.
- The reward system encourages users to bring in their peers to vote, as greater participation equals greater rewards for all.
- Users can vote for multiple ideas in various allocations i.e. 20% idea A, 80% idea B.
- Users’ tokens earned as rewards vest over a 30-day period from the end of the round when they were earned.
- Users should allocate 100% of their voting power per round to have maximum impact
- User voting power refreshes (minus a small decay rate) each round, enabling them to vote again in the next round.
Full Length
The voting reward mechanism is central to SlingShot DAO, empowering community members to earn from a massive reserve of 350,000,000 $SLING tokens (7% of the total supply). To reap these benefits, all you need to do is contribute to the selection of the best gaming ideas.
Unlock Rewards with Voting: Understanding the Mechanism
The philosophy of unity is integral to SlingShot DAO’s reward system. The more the community members cast their votes in a round, the greater the rewards for everyone. An on-chain algorithm determines the reward size in proportion to participation rates, encouraging users to invite others to vote and strengthen the community.
Reward Limits, Rollovers, and Engaging the Community
To maintain an engaging and balanced system, the rewards (350,000,000 $SLING) have been split evenly across 52 rounds. However, all available rewards per round are not distributed randomly. Instead, a certain percentage of rewards, dictated by voter turnout, is given out. Initial limits are set at a minimum of 15% and a maximum of 80% voter participation. At these thresholds, 15% and 100% of the reward allocation, respectively, are distributed. These limits can be changed with governance proposals based on observed participation patterns.
Graph 1: Slingshot Participation Rate vs. Reward Amount (%) vs. Token Amount
If any rewards are undistributed in a particular round, half are transferred to the next round and the remaining are spread equally amongst the remaining rounds. This transfer mechanism encourages consistent community engagement and creates jackpot-style rounds after a low turnout round.
How to Claim Your Rewards: A Walk in the Park
Claiming your rewards using the SlingShot app is a breeze. After a round ends, eligible users will receive their share of rewards, which vest over a 30 day period. These rewards can be seen and claimed under the ‘Wallet’ section. Once claimed, the tokens are immediately available in the user’s wallet.
In Conclusion: Empowerment Through Voting
SlingShot DAO’s focus on community is epitomized in its unique reward system. The rewards, determined by an algorithm based on voting participation, aim to create an inclusive and rewarding environment for all.
So come, join SlingShot DAO, shape the future of digital gaming, and unite in the pursuit of the world’s most innovative and captivating ideas.
If you need me, you’ll find me rolling in my mountain of $SLING Rewards!
ChainScribe.
