Updates: Staking Rewards Live + OTC Liquidity Drive
Hi everyone,
Thank you for your patience the past week while we work through the contract audits.
John Wick Security Lab: https://pamp.network/wp-content/uploads/2020/06/PampStaking-Pamp-Network-PAMP-Audit-Report.pdf
Adis Begic: https://pamp.network/wp-content/uploads/2020/06/pamp-deliverable-v2.pdf
As we’ve announced in Telegram, rewards are now live! We are having a full week of rewards as an apology for the delay. The rewards today were 5%, tomorrow will be 4%, the next day will be 3%, then 2%, and then 1% for three days.
If you haven’t done so already, head over to https://pamp.network and click on “Reset Staking Time.” The next time rewards are updated, you’ll be able to claim by clicking the green “Claim Rewards” button. You will need a minimum of 500 tokens to claim rewards. “Reset Staking Time” is only for addresses with balances before our recent staking contract update this past weekend. Any new address will be reset automatically when it receives the minimum staking amount. Once you have reset staking time you do not need to do it again. Make sure that you claim rewards before you do anything else with your tokens. Doing any kind of trading or transacting with tokens will likely invalidate you from receiving the current day’s rewards if you do not claim before you trade.
The staking and rewards system in Pamp Network is not like most other staking coins. Because the price does not always increase, we cannot give accurate predictions on expected staking returns. The system is also designed differently, so there is not ‘unstaking’ and ‘staking’ of coins; this is done automatically when you send and receive tokens from your addresses. At the moment, you must claim every day the price is positive (this week, rewards are distributed every day) in order to maximize rewards, but we plan on changing the reward mechanism in the future to only require intervention once a week or so.
When you receive tokens, your staking time decreases based on the number of tokens you’ve received as a percentage of your total balance. Below you’ll see the formula used to calculate the number of seconds your holding time is reduced by when you receive tokens.
Using the above formula, we see that if you receive 9% of your current balance, your ‘holding time’ is reduced by 90,000 seconds, or 25 hours, and 5% is about 13 hours. This ‘receive’ is only when you buy tokens or receive them from an external address, not when you claim rewards. The ‘holding time’ cannot go below zero, and in fact your holding time or ‘staking time’ (in this context it’s the same) is represented in unixtime, so when we say days held we really mean (block.timestamp — your unix time) / 86400. But this is not really important; what you should take away from this is that you should hold PAMP in multiple addresses: one address for long-term staking, that you don’t touch, one address for short-term holding that you may touch every once in a while, and one address for trading, that you use often.
Note that currently, the minimum staking time to claim rewards is zero days, meaning even if your holding time is reset you can still claim tokens. In the future, however, we will have a minimum staking time of 2 days, which means you will have to be more careful about how many tokens you purchase at a time.
In addition, when you send tokens out of your address (to sell them or transfer them to another address) your staking time is reset. As we wrote in a previous medium post, staking time / holding time represents a positive multiplier on your daily rewards, so it is super important that you do not reset it, or you will have much lower rewards than everyone else who held!
When the price is on a streak (2+ days with price increase in a row), more tokens will be minted, and this will increase with the length of the streak. When the volume is too low, less tokens will be minted. For your reference, currently the inflation adjustment factor is set to 100. Note how important the number of days staked is — this number increases every day regardless of the price action or whether you claimed a reward. The number of days staked has a ceiling, though — after 60 days, any additional days do not count towards the multiplier (but still, a 60x multiplier on daily rewards is massive!)
Sometimes, though, the price just doesn’t increase much — if we are in a bear market, what incentives do we give holders to keep holding? We call it Holder’s Day. Once a month, holders of 30 days or more get a nice bump, regardless of the price action. The formula for Holder’s Day is below.
If you held for 60 days, you’d receive 10 percent of your balance on just one day!
Update: We are adding some information regarding volume requirements for rewards.
Volume across exchanges is important for a healthy project. Generally, when the price of a coin or stock increases with low volume, we do not consider the price action very bullish. To account for this, our smart contract imposes some volume requirements for rewards — this requirement uses a volume-to-market-cap ratio.
In smart contract-land, we have no way to properly measure the ‘circulating supply’ and the ‘total supply’ — there is just the total token supply. To account for this, we have decreased the volume requirement with respect to market cap, but the requirement is still there. In order for streaks to count, the daily volume must be at least 4% of the market cap, when calculating using total supply, or 10% of the market cap, when calculating using circulating supply. Normally a streak (multiple days of price increase in a row) decreases the inflation adjustment factor by a factor of the number of days in the streak*, but if the volume is less than 4% or 10% (respectively), the streak does not count.
In addition, if the volume is less than 2% of the market cap when using total supply or 5% when using circulating supply, the inflation adjustment factor is increased by a factor of ten, dramatically reducing rewards. So remember, price increase is not the only thing to look for when considering future rewards — volume is an important factor of a healthy market too!
That, in a nutshell, explains the majority of the Pamp Network. This post will be updated with an FAQ as questions come in. Feel free to PM @pampadmin on telegram with any questions.
We are also going to be running an OTC liquidity drive soon. We are currently testing a smart contract that will make it easier. You can view it here: https://github.com/ConsenSys/openzeppelin-solidity/blob/master/contracts/crowdsale/Crowdsale.sol
We plan on offering 75k tokens at a soon-to-be determined market price per token. Minimum 1 ETH contribution. We will be using the ETH from this sale for our next exchange.
*this may be reduced in the future
Thank you for your patience and support.
