Hello everyone,
We are working on preparing a new feature related to dApp staking and the threshold system, likely in the next runtime upgrade (exact date TBD), to introduce a fixed maximum and minimum threshold to the tier system. Here’s a quick overview to help you understand changes better.
Background
Since the September 3rd runtime upgrade (v5.43.0), tier thresholds have been calculated dynamically as percentages of total token issuance for tiers 1, 2, and 3. These thresholds are currently defined by a base percentage and a minimum percentage (check messages in this thread).
Problem
Under the current system, tier thresholds are directly influenced by the ASTR token price. As a result, the recent decline in ASTR price has caused thresholds to rise significantly, nearly doubling since the system’s introduction. This has created instability, with many projects shifting tiers despite their staking amounts remaining relatively constant. The lack of predictability has added pressure on project teams, forcing them to divert time and resources toward retaining or increasing stakers rather than focusing on core development and long-term growth. This reactive environment undermines the broader goal of supporting sustainable innovation within the ecosystem.
What’s New
To address this issue, we’re now proposing to introduce a maximum percentage cap to tier thresholds. This is designed to prevent sharp increases caused by fluctuations in the Astar token price, helping to keep tier thresholds within a defined and predictable range. By doing so, project teams can plan with greater confidence, without the constant pressure of thresholds rising indefinitely and potentially causing their projects to be downgraded to a lower tier. Ultimately, this change is intended to create a more stable and supportive environment for builders. You can find the technical implementation in this pull request #1459.
Max Percentage Values (Astar Network)
Here are the suggested maximum possible percentages values delivered with this feature (same values as base percentages):
- Tier 1: 3.57%
- Tier 2: 0.89%
- Tier 3: 0.238%
Based on an 8.4B total token supply (and current market estimate), the projected thresholds are:
- Tier 1: 300M
- Tier 2: 75M
- Tier 3: 20M
Impact
This update could shift dApp tier classifications as thresholds adjust. At the time of writing:
- 1 dApp will be promoted to Tier 1
- 1 dApps will be promoted to Tier 2
- 2 dApps will be promoted to Tier 3
Over time, this should bring more predictability and fairness for builders. That said, we still encourage projects to actively engage their communities and attract new stakers.
All percentages values can still be updated by governance. To maintain the current behavior, the cap can be set at 100% of total issuance.
If you have questions, feel free to reach out. We’re committed to improving the staking experience for all builders and users.
Thank you,
Igor