Rules regarding the dapp staking


I would like to propose to create a rule in order to make the dapp staking fairer. The rule is quite simple: dapps cannot give back any listed (on a CEX or DEX) tokens to the stakers. In others words: no financial incentives for the stakers.

However a dapp may promise to distribute its governance token to the stakers when the token will be generated. As soon it is created, and can be listed on a DEX (and so have a financial value), the dapp should not be allowed to reward the stakers with this token.

Just for info, i own AD nft, i am skating on Lucky dapp, … so my proposal is clearly against my personnal interests, but i think it is fair for the ecosystem.

Thx for reading

1 Like

Thanks for the proposal.

Certainly, there is one aspect of dApp Staking that is problematic for dApps to provide additional incentives to Staker. For those of you who are not familiar with the issue, I will write about the problems I perceive.

  1. dApp Staking is an important governance system in that it determines to whom block rewards are distributed. However, giving additional incentives to Staker is like a bribe and may cause the governance system to fail.
  2. dApp Staking is supposed to support developers, but additional incentives may diminish its meaning.

However, in addition to these bad aspects, there are also good aspects.

  1. it will be one of the conduits to attract new dApp Stakers
  2. more ASTRs will be staked, which will benefit holders with lower selling pressure.
    TVL is one of the indicators in the blockchain and will lead to a better valuation for Astar.

Based on the above points, we have several questions for the proposal.

  1. when you say that listed tokens cannot be returned to Staker, do you include ASTR?
  2. if so, would it be permissible to pay community contributors for their labor with ASTRs earned through dApp Staking, for example? (need to avoid ambiguity)
  3. assuming we are talking about dApps own tokens, would allowing them as an incentive before TGE be much different than allowing them after listing, is there a difference?
  4. if we are working as a community without dApps like the NFT project, if we are tokenizing governance rights, dApp Staking could be one of the low-cost distribution methods. It may not necessarily be for incentive purposes, but what do you think?
  5. is there a problem with giving in-kind or NFTs as some projects do?
    Is there a problem with preferential treatment, for example, the right to participate in dApps?

If we are going to put restrictions on additional incentives, we need to set strict rules. And we would need community members to monitor each dApps. This could also be a problem. It is difficult to implement because it is not possible to put on-chain restrictions.

Therefore, I think we have no choice but to leave it to project morale and staker’s judgment, i.e., to maintain the status quo.