Proton “Long staking” is now live

The following contract is now live on Proton MainNet

Longstaking is a new concept that we are considering for the Proton Blockchain, which could have significant benefits for longer term token holders. We’ve fleshed out the contract mechanics, and a potential user interface within Bloks.io, and we’re opening it up to the community for comment and suggestions. It would need to be voted in by 15/21 Block Producers to be entered into the chain.

The proposal: reward long term holders with a defined minimum performance vs Bitcoin.

But with Bitcoin making significant strides, and now reaching new all time highs, Proton and other dPOS chains find themselves competing for attention with Bitcoin itself. While our utility as a chain is entirely different (fast transactions, wrapped coins, free accounts, no fees etc…), we need a reward structure that is calibrated on BTC.

Lock up tokens for an extended period, get a protected return denominated in Sats.

Now, given a daily close of O(x) of Proton in Sats, by “long staking” for 90 days, the contract will either return back

  • M = 105% * O(start)/O(end) as many proton XPR tokens as were staked. or
  • the exact number of proton XPR tokens staked.

depending only on whether M > 1 or not.

The advantage here from a tokenomics perspective is that the long stakers can vote and choose BPs, but be confident that over the long term (90 days) they will always algorithmically out-perform the industry denominator: Bitcoin.

Risks

The oracles are also very important. All kinds of trouble can occur if the oracles are manipulated — either at the entry or exit periods. The contract could end up minting large numbers of tokens which could affect total supply.

90days and 365 day contracts

Github: https://github.com/ProtonProtocol/proton-longstaking

Oracles

We’ve built this oracle technology already and you can see it live at https://proton.bloks.io/a/oracles

The oracle code is available at https://github.com/ProtonProtocol/proton-oracle.

We would love for more BPs to be a part of this oracle, DM @syed_jafri if you would like to be added.

bitcoin, lightning, wrapped bitcoin and wallets