Try Quests to earn cryptoFLOOR Token From FloorDAO
Introduction
There is so much innovation and collaboration in crypto market and this is the best example for us to prove that we are dealing with some technological mutation not a ongoing scamming Ponzy with nothing to offer. I did already touched on what NFTX is, and as complicated it seemed for me now i realized there are some other protocols build on top of it trying to expand its use cases and optimize its performance - And we are talking about FloorDAO here:
> Decentralised exchanges like NFTX have existed for a while but lack deep liquidity for these tokens, holding them back from wider market adoption in the DeFi world. FloorDAO will create deep liquidity for these community-voted blue chip NFTs
So what FloorDAO does is that it provides you the possibility to bond your assets (NFTs or WETH) to get a discount on FLOOR token. The primary action of FloorDAO treasury contract is that it Stakes your Bonded asset on NFTX to deepen its liquidity and receives a share of any kind of fee that is charged there. This will help to boost the liquidity and trading on a specific project and the more income generated for FloorDAO treasury means more FLOOR token distributed to stakers following “Rebase” reward mechanism. So you are betting on success of FLOOR token and trying to accrue FLOOR both by acquiring at discount and staking rewards.
Data & Analysis
Since the most important mechanism build for FLOOR is Staking, I will show you its relative numbers first. This is how Staking mechanism works:
user will stake its $FLOORs and receives gFLOOR in return. There is no sFLOOR given anymore, and staked FLOORs will directly turn into gFLOORs which gives the ability to participate in votings and also accrues over time as rebases occur. So I queried the Staking and Unstaking events based on the amount of FLOOR sent and received from FloorDAO Staking contract which is: 0x759c6de5bca9ade8a1a2719a31553c4b7de02539
- Number of distinct users who had staked or unstaked are decreasing on a constant basis
- It seems that average number of stakers were more than unstakers in most days but there was some opposite days for sure
- Amount of FLOOR staked and unstaked is also decreasing, but this time it seems that earlier on our time period (past 90 days) there was a closer competition comparing to more recent weeks were staking is more that unstaking (still lower than weeks before)
Is there enough incentive to keep Staking FLOOR?
- Data shows that the amount of gFLOOR didn’t increased significantly for the past 6 weeks suggesting that incentive for staking is reduced either because of FLOOR price or overall condition of market.
- But this could change easily by introducing new bond opportunities (bonding is closed for some time so fewer FLOOR is minted also)
Rebase Rewards
Theoretically there should be an epoch every 8 Hours which rebases FLOOR distribution and mints new FLOOR but this is subject to change and needs also manual triggering.
Data shows that FLOOR minted through this mechanism decreased in past 6 weeks which can be another sign that there should be lower incentives (Remember that lower the performance of NFTs, Lower the income of FloorDAO?)
Conclusion
It seems that the incentive for staking FLOOR is decreasing these days. I believe this can be relatively related to overall condition of market since it led to both underperforming of NFT projects and closing of bonding contract; Both leading to less income for Stakers. Also when there is not enough movement in market, holder might find better places to stake their capital.
Contacts
Analysis by freemartian.eth
Twitter: @cryptonut24
Discord: Kianrequiem#5594
Email: kiankhorsandi@gmail.com