Try Quests to earn cryptoFLOOR Tokens
Introduction
What is FloorDAO?
FloorDAO is a decentralized NFT market-making protocol. It enables deep, sticky liquidity for all NFT collections contained in the FloorDAO treasury. FloorDAO uses the bond & rebase mechanisms pioneered by OlympusDAO to accumulate productive NFT liquidity, which is then deployed in strategies such as NFTX vaults to generate yield.
Data Analysis
According to the chart below, the number of transactions of FLOOR token holders has decreased in the last 90 days.
The largest number of transactions of FLOOR token holders in the fields of swapping, staking and unstaking are:
- Swap: Apr 16: 226 transactions.
- The highest number of transactions related to FLOOR swapping was recorded by users in April. The number of FLOOR token swaps has dropped significantly from May onwards compared to April.
- Stake: Apr 18: 33 transactions.
- The number of staking in the past days has decreased to less than 5 staking per day. On some days in recent weeks, no staking has been recorded.
- Unstake: Apr 16: 134 transactions.
- The highest number of unstaking by users occurred in April. Since May, the number of transactions related to unstaking has been negligible.
Despite the significant drop in the number of FLOOR token transactions in recent days and weeks, the chart below shows that users are staking more than unstaking their tokens.
On the other hand, the review of user transactions during the last 90 days shows that most (about 64%) of these users' transactions were dedicated to swapping. Also, in the last 90 days, users preferred to unstake their assets rather than staking. Although, according to the previous charts, the number of staking has exceeded unstaking in the past days and weeks.
The following charts show the categories of users based on the number of stakes and unstakes.
According to the charts below, most of the users have staked their FLOOR tokens only once in the last 90 days. Likewise, most users have unstaked their FLOOR tokens only once. This one time can be to unstake the entire asset or a part of the asset.
278 users have not unstaked their FLOOR tokens yet. (at the time of writing this dashboard)
In the last 90 days, the number of users who have staked their FLOOR tokens more than 10 times is more than 40 addresses.
The charts below show the volume of staked and unstaked FLOOR tokens in the last 90 days.
The largest volume of staked and unstaked FLOOR tokens in one day:
- Maximum volume of staked FLOOR → Apr 15: 41.4k FLOOR.
- Maximum volume of unstaked FLOOR → May 11: 48.7k FLOOR.
In the last 90 days, the price of FLOOR token has only decreased. The price of FLOOR token dropped from 33.8 USD on April 4th to 3 USD on July. In other words, the price of FLOOR decreased by 92% in the last 90 days.
Now we want to answer the following question:
Are the rebase rewards received from staking FLOOR enough to incentivize users to continue staking? Why or why not?
To answer this question, we checked the following status:
An user has staked his FLOOR token for 90 days:
Suppose a user stakes 1000 FLOOR tokens on April 4th. The value of his staked property on that date was about 33k USD. Now, if he wants to unstake all his assets on July 3, the value of his assets on this day is 3k USD. That is, due to the decrease in the value of the FLOOR token, his assets have decreased by about 90% without considering the profit. Therefore, the user needs to receive an average of 330 FLOOR tokens per day just to maintain the value of his assets in dollars. (Note that a simple model was examined without considering the variables that complicate the analysis.)
A very important point is that users who are looking to stake their assets in the crypto space should know that due to the high volatility of token prices, especially in a bear market, risk management is very important in order to protect people's assets.
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