The staking proposal laid out by Valdorff specifies a linear curve between 10-15% of borrowed ETH (0.1-0.15 pETH ratio), where rewards decrease logarithmically for RPL staked beyond this level. Nodes with RPL stakes of 10-15% borrowed ETH would maximize their rewards per RPL staked.
This is an unofficial and adjunct poll to see if most people prefer that cutoff, or would favor a narrower or wider reward structure. A narrower reward structure may be similar to Knoshua’s previous proposal (reward proportional to rETH created, additional RPL past 10% borrowed ETH generates decreasing rewards); a much much wider proposal would be very similar to our current tokenomics (10-50% borrowed ETH); a much wider proposal would be between current tokenomics and Valdorff’s proposal (10-25% borrowed ETH).
If there is no clear consensus on this poll, it makes sense to go forward with Valdorff’s proposal as written.
The benefits of narrower structures are generally directing rewards towards rETH and minipool creation, as well as creating a more firm floor price to diminish volatility.
The benefits of a wider structure are generally having a longer sweet spot, so node reallocation is not as frequent and some degree of speculative premium is permitted.
Please forgive this graph, which was done on a chromebook with no mouse in the paint app.
Choose as many results as you like:
- I want rewards most concentrated near minimum collateral (rewards drop off after 10% borrowed ETH)
- I want rewards concentrated similarly to the proposal (rewards drop off after 15% borrowed ETH)
- I want rewards much less concentrated near minimum collateral (rewards drop off after 25% borrowed ETH)
- I want rewards similar to now (rewards drop off after 50% borrowed ETH)
- This poll is a travesty and gross miscarriage of justice