AIP-0309: Adding Different Staking Durations as an Additional Parameter for Rewards
Author(s):
QingLizi
Created:
2025-03-09
Summary:
Introduce different staking durations as an additional parameter for reward distribution.
Motivation:
The longer the staking lock-up period, the higher the reward ratio, with no early withdrawals allowed.
This proposal aims to address the issue of repeated token utilization, reducing the circulating supply of issued tokens and increasing scarcity.
Specification:
Introduce staking duration options and adjust the base reward calculation accordingly.
Example:
5-year staking (100%)
3-year staking (50%)
2-year staking (25%)
1-year staking (10%)
6-month staking (4%)
3-month staking (1.8%)
1-month staking (0.5%)
1-week staking (0.1%)
1-day staking (0.01%)
For example, based on staking 10,000 tokens:
1-day staking → Earns approximately 1 token/day, totaling 365 tokens/year
7-day staking → Earns approximately 1.1 tokens/day, totaling 401.5 tokens/year
30-day staking → Earns approximately 2 tokens/day, totaling 730 tokens/year
From a technical perspective, this requires adding two elements:
A staking duration selection option.
A reward multiplier based on the selected duration (staking length × percentage bonus).
Rationale:
Issued tokens can serve as productive assets with actual utility. The more tokens staked and the longer the staking duration, the higher the returns.
Users who do not wish to invest in SSDs for mining can generate returns simply by staking tokens.
The availability of different staking durations provides entry points for more users. For example, a 1-day staking option allows casual participation.
Longer staking periods enhance token scarcity by reducing circulating supply.
Risks and Considerations:
The risk is minimal, as users will have many options to choose from, allowing them to stake according to their needs. Each participant is responsible for their staking choices.
However, technical challenges exist, particularly in ensuring a user-friendly interface and smooth backend implementation, requiring additional development time and technical resources.
Implementation Plan:
Implement staking duration selection on Taurus Testnet and test feasibility across different time periods, ensuring proper maturity and expiration handling.
Introduce reward multipliers (e.g., multiply rewards by 0.01% per staking duration).
Implement reward distribution and staking expiration mechanisms.
Shorter durations like 1-day and 7-day staking can be tested first to validate feasibility before rolling out longer durations.
References:
Original work by the author, first published on Autonomys BBS.
I think there’s some confusion about how staking rewards are determined. The transaction fees in each block contribute to the reward pool, and those fees go to the operator (and their nominators) if they are the ones who process the bundle. For example, if someone has a one-day staking category, that operator (before paying nominators) might receive 0.01% of the reward—if that block even contained any fees.
But what about the remaining 99.99% of the reward?
Also, there’s no straightforward way to calculate a person’s rewards just by looking at the amount they have staked. The actual rewards depend on:
The share of the total stake they have relative to others (since this influences how often they process a bundle),
Transaction fees included in the bundles they process,
Luck (in the sense of whether they get to process the bundles containing higher fees).
In short, the fees can vary depending on network usage, transaction type, and frequency, so it’s not simply a matter of applying a fixed percentage to a staked amount.
This proposal is just a cardinality for adding multiplication. If he receives a 1% reward. The remaining 99% can be returned to the prize pool and handed over to other winners. Or it can be burned directly. Or enter the black hole address. Further causing scarcity
I am not the biggest fan of burning tokens. In theory we could burn up every one of them at some point in the future.
You would also have to consider that the operator may have staked and un-staked various amounts over time and each of their nominators would have their own staking history. We also don’t really have a concept of a reward pool. This sounds like a pretty heavy engineering lift.
Your calculations are a bit off on the yearly rewards. The difference between 5 years (100%) and 1 day (0.01%) would be a factor of 10,000, not 10. So it would be more like 1 day = 0.001 tokens if 5 year was 10 tokens.
Personally I like the concept of rewarding people that stake for longer periods, and your proposal certainly is interesting. Unfortunately there are ton of nuances to calculating it - if it is even possible. At this late in the game, I don’t see any way of changing it before the staking rewards start.
of course. Many details need to be considered. This is also something I have been considering for the past few months. Various unknown changes. Everything needs to be taken into consideration.
Of course, every difficulty has flexible solutions. We cannot stop moving forward and making progress just because of one difficulty
After the operator is cancelled: Users can switch operators themselves (but cannot unlock them in advance) and keep their staking history (because they only need to pay attention to the height time).
If there is no reward pool, you can directly enter the black hole for destruction. This is actually the best operation.
I am not very accurate in calculating percentages. Because it’s just a preliminary case. Once the proposal is approved. I will carefully check and correct it. But it is certain that the longer the pledge lock time, the more. The higher the proportion of rewards obtained.
But at first glance, I don’t seem to be wrong. Pledge for 5 years and receive 1 token per day, or pledge for 1 day and receive 0.01 token per day
I have discussed this proposal in DC or via email a long time ago. But it has not received attention and approval.
Perhaps it cannot be perfected before the main network is officially pledged. That’s really regrettable.
So please consider my suggestion carefully by the authorities. And collectively discuss the feasibility. If feasible, start early
在经济模型已经确定,并且已经在代码实现的情况下,这个建议在我看来不具有可行性,质押的激励来源就是个大问题,增发?可能会引来社区不满,如果不增发,币从哪里来呢?
锁定流动性听起来还可以,但需要更有创意的想法了。
With the economic model already established and already implemented in code, this suggestion doesn’t seem feasible to me, the source of incentive for pledging is a big problem, and issuing additional coins? It might attract community dissatisfaction, if not, where will the coins come from?
Locking in liquidity sounds ok, but it’s going to take a more creative idea.
It does not issue additional shares. The source of reward coins. There is no difference from the previous source. How did the rewards come before? They are still there now. Just the profits will decrease. Because there is a base percentage of%. That is to say, the previous income multiplied by the percentage equals the income after the implementation of the plan
Thank you for your understanding and agreement. It seems that you all understand.
I really don’t understand technology, which is something I can’t care about. But now stainless steel rocket launchers can be used to launch satellites and recover them. I believe that technology serves the goal.
As for whether the foundation will invest additional rewards to long-term holders. It’s their calculation. We don’t have to worry either.
But currently this plan. It is definitely beneficial for users who hold tokens for a long time. Selling at high prices for short-term holdings is indeed of little use.