[Proposal] Early Access on Pylon Pools for MINE staking

Pylon Pools is a great product and the mechanism pretty much unique in the crypto space. From my point of view Pylon team should continue to improve it further since it’s a unique selling point.

Issue:
Right now there are zero incentives to obtain or stake MINE in order to participate in Pylon Pools.

While I think it’s the right approach in keeping Pylon Pools open for anyone to participate, this proposal would give Pylon Pools investors a reason to stake MINE and increase long term demand for the token.

Proposal: Early Access for MINE staking
From an investor perspective the first few hours/days in a new listed Pylon Pool is usually the “sweat spot” because of the effect of highest capital efficiency on linear token distribution. As we all know the efficiency decreases over time when more capital flows into the pools.

We could improve from here and grant participants who obtained and stake MINE early access to the token distribution in a tiered system which increased their capital efficiency in those pools. Another pro argument would Pylon team has full control over this mechanism and it’s pretty much independent from the amount of tokens distributed from a particular project.

Example:

  • 2020-12-01 - Pool opens for deposits on (24h before token distribution starts)
  • 2020-12-02 - Token Distribution TIER 1 starts (>1.000.000 MINE staked over 3 month on average)
  • 2020-12-03 - Token Distribution TIER 2 starts (>250.000 MINE staked over 3 month on average)
  • 2020-12-04 - Token Distribution TIER 3 starts (>100.000 MINE staked over 3 month on average)
  • 2020-12-05 - Token Distribution TIER 4 starts (>50.000 MINE staked over 3 month on average)
  • 2020-12-07 - Token Distribution TIER 5 starts (>10.000 MINE staked over 3 month on average)
  • 2020-12-08 - Token Distribution TIER 6 starts (>1.000 MINE staked over 3 month on average)
  • 2020-12-09 - Token Distribution for anyone else starts

Open for discussion to tweak those numbers and tier level.

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I quite like this proposal, but I do think that the distribution tiers should be adjusted to be less “whale heavy” - though that’s a hard line to draw.

Also, would the MINE be locked for an amount of time after entering the pools. For the entire vesting period, or when the payouts of tokens begin?
This, to battle dumping of tokens.

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Also, would the MINE be locked for an amount of time after entering the pools. For the entire vesting period, or when the payouts of tokens begin?

Maybe the >x MINE staked over 3 month on average description was a little bit misleading.

The whole idea was to get an average amount of MINE staked over the last 3 month in order to encourage long-term staking instead of game the system like just buy MINE just before pool opening, stake it, participate on early access, unstake and dump it on the market.

Maybe 3 month for building an average value is too short or too long period, so community feedback on this would be welcome! Same goes for TIER levels, just wanted to point out an example.

Yes agreed. I think perhaps we are going to cover this over one the Sayve discussion.

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I like the premise but would echo:

  1. less whale heavy, so for example:
  • ≥ 50k mine staked | +2 days early access (so one week total)
  • ≥ 10k mine staked | +5 days early access
  • ≥ 1k mine staked | required to enter for everyone in most cases (but you can ‘zap in’ the MINE, so for example if you don’t have MINE staked, you can add UST and on the backend it buys the MINE from the market and stakes it along with your pool amount)
  1. for users who don’t have ‘3 months staked on average’ counting retroactively, give them the option of a forward time lock, so they have to lock in that amount of MINE for 3 months.

I like it. I like those numbers as a starting point too. Also like requiring 1k mine staked but the contract will do that automatically for those who don’t currently stake any mine. 1k mine staked even at current ATH is only about $250, should be the bare minimum for users to get the benefits of the pools.