Ownership Based Staking
Whitelists may work for the first mint of a project/team but long term we need a better solution. We need a system that rewards long term community members vs short term flippers.
Ownership based staking is used for a few of our NFTs.
Instead of sending your NFT to a smart contract you earn staking rewards by owning the NFT.
- Staking rewards are tied to the NFTs ID.
- Rewards CANNOT be transferred to other NFTs.
- We would like to prevent whales from buying multiple NFTs, merging rewards, and sweeping all redeemable prizes.
- Staking rewards can be used to upgrade the level of your NFT.
- Each NFT implements the level system in different ways but the basic idea involves NFTs with higher levels receiving access to rarer drops, resources, and staking multipliers.
The use of staking rewards is dependent on the NFT implementing Ownership Based Staking.