Announcing BUDS staking system 🔥🔥
The last piece of the Haskings system is here!
Some users wonder why we accept many other tokens and not only BUDS, forcing users to buy it to access the game. Well, in Hashkings we are strong believers that the free market is the best path to grow and create richness for the ecosystem and that a system that offers facilities to users is better than just forcing you to use our token.
For example in the joints store, the forge and the avatar packs you can use tokens like $PIZZA or $ONEUP to acquire these assets that we can translate in many positive reactions to this, for example:
- First, the communities of these tokens will receive and will have access to our ecosystem
- A partnership is always good as a marketing tool for leveraging our exposure and reputation
- And maybe the most obvious, we let more capital enter the game
The badside until now is that there wasn't a real strong reason beyond burning BUDS for MOTA, to buy and use BUDS so we can see and isn't a secret that the BUDS price have been decreasing lately.
This happened essentially because as we changed the system to a multi-token instead of forcing the users but we didn't have a tool to distribute the extra capital that have been entering into the game to our users through BUDS and the staking is meant to solve that issue and offer stability based in the growing and performance of the Hashkings ecosystem through specific features.
We want to add that despite this, BUDS doesn't give you ownership of Hashkings itself so shouldn't be considered a security token but a utility token.
¿HOW THE BUDS STAKING WORKS?
Our vision was always to put all the value in BUDS as is our central and most liquid token instead of creating another governance token and dilute its power.
Now with the staking system we are developing we can reward all the Hashkings players and especially the ones that are helping the ecosystem by HOLDing BUDS..
¿Where do the rewards come from?
This is an important point and is that we are NOT creating inflation to reward the stakers like other systems, in fact as we are getting more coins in our features by letting players to use different tokens, we are gonna use those other tokens to buy and distribute automatically BUDS from the market daily creating a natural and constant buying pressure with a real backed demand.
Initially all the extra tokens but BUDS (because all the BUDS spent in HK are 100% burned, used in the joint store and the forge will be filling the rewards. But future features, like the BANG! defense keys shop will also create a revenue source to fill the staking rewards and so all the other new things we are preparing for you
¿What do i need to start staking?
The staking website will be launched between one and two weeks (approximately!) since we publish this and you would only have to have BUDS in your engine wallet (don't stake them there, we are gonna have our own system)
¿ How the rewards are distributed?
This is how the magic happens, we are gonna change all other tokens for HIVE and send them to our staking rewards account which will use 1/100 part of the HIVE calculated in a dailt basis to buy BUDS from the market.
So when an user stakes its BUDS in our website, he will receive a new token called BUDSX which initially will have a ratio of 1 BUDSX: 1 BUDS and this token will represent their participation share in the rewards pool.
This initial ratio of 1 BUDSX:1BUDS will ONLY change in the following scenario:
- when more BUDS are added to the staking account, so this ratio will change daily after the rewards account buys BUDS from the market and send them to the staking, and will always increase.
When an user stake BUDS, he send us the BUDS and receive BUDSX.
When a user unstake BUDS, he sends us the BUDSX back and he receives its BUDS at the actual ratio (initial staked amount + proportion of the rewards)
Let's look an example
- Liuke wants to earn more BUDS and stake 1000 BUDS in the official website when the initial ratio is still at 1:1, so he receives 1000 BUDSX.
- Chocolatoso also wants to get some BUDS, so he stakes 1000 BUDS more and as the ratio isn't affected by users movements, he also receives 1000 BUDSX.
- Let's use a small number for the example and let's say 5000 BUDS are bought with the HIVE in the rewards account and sent to the staking account, so now the total BUDS will be 7000 ( 5000 from rewards and 2000 from users deposits)
- So this means there's a new ratio now for new staking users which is TOTAL BUDS IN THE REWARDS ACCOUNT/ BUDSX CIRCULATING SUPPLY. (7000/2000) which give us a new ratio of 1 BUDSX: 3.5 BUDS
- So now RAMA wants to join the pool and he also wanna 1000 BUDSX but in this case he needs to deposit 3500 BUDS to get them.
- So now there are 3000 BUDSX in circulation and 10500 BUDS in the staking account
- So now let's say chocolatoso is an impatience guy and wants to unstake his BUDS, so he basically sends back its 1000 BUDSX which will be burned later and he will receive 3500 BUDS.
- What happend here basically was = (BUDSX sent by the users/ BUDSX in circulation) * BUDS in the staking account. Which would be ( 1000 BUDSX/ 3000 BUDSX) * 105000 = 3500 BUDS
- THE RATIO DOESN'T CHANGE AT ALL, because now there are 2000 BUDSX in circulation and 7000 BUDS in the rewards account.
This system gives only the rewards of the days you have been staking your BUDS and the ratio can't decrease, only increase. Plus as the staking rewards are based in demand this will protect HK from issues like in other games in which inflation creates a spiral of death.
THAT'S NOT ALL!!
Yes!! more rewards for our beloved players, we will also distribute drops of EXP tokens to all the BUDSX holders which would basically work like a MOTA pool. Distributing a certain amount of tokens between all the holders in a daily basis.
The EXP token is a new asset in our ecosystem that can be freely traded or redeemed for joints in our store in a 1:1 ratio. Basically if a pinner gives you 15 XP, you can use 15 EXP tokens to get a pinner and will be like that with all the other joints as long as you have the required level to acquiere them or you can trade it with other users.
Is almost a fact that we will add more rewards for the BUDSX holders as the staking system will be the strongest reason to hold BUDS in HK.
And of course on HIVE