The goal of this post is to outline what the badger core team is building towards to help clear up and codify the discussions since launch of how to reward badger users that interact with apps and assets associated with badger. Ideally community members share their thoughts, recommendations, changes and ideas to further solidify what the implementation should be.
Non-Native Staking Balance:
All staking positions for a user that doesn’t include BADGER and DIGG.
All emissions are based on the amount staked. The Emissions balance = [non-native staking balance] * [Badger Boost]
Example: Badger emits 100 Badger between two stakers. Staker A has 1 BTC staked and Staker B has 3 BTC staked, so Staker A gets 25 Badger and Staker B gets 75 Badger.
A multiplier that is determined based on your Badger Ratio. Badger Boost applies to the relative value of your non-native sett positions. A higher badger boost means you get a better dollar-to-dollar return. All addresses are ordered by their Badger Ratio and receive anywhere from a 1 (None) to max (3 to start) multiplier.
Example: Badger emits 100 Badger between 2 stakers in non-native setts. Staker A has 1 BTC with a 2x Badger Boost, while Staker B has 2 BTC with a 1x Badger Boost, so Staker A receives 50 Badger and Staker B receives 50 Badger.
Badger Ratio: This determines where in the rankings you are and is a simple ratio
[Badger Balance]/[non-native staking Balance]
Badger Balance: All staking positions for a user that include BADGER and DIGG + any multipliers.
ROI Boosts can be implemented by modifying your Badger Balance to increase your Badger Ratio, thus giving you a larger Badger Boost. An example of this could be holding an NFT to boost your badger balance 10% (numbers are subject to change). This would create a higher badger ratio (as non-native balance is static) and then push you up the badger boost leaderboard, which in turn will increase your multiplier. Badger balance is determined by a smart contract so any previous action, or held asset can be included as a “boost”.
Before being implemented the strategy will be run by the community for approval. We are thinking something like a baseline boost to badger balance (say between 5% and 25%) based on NFT rarity. Then we will have rotating special NFTs that may multiply that specific NFTs boost for a period of time. The goal is to create tangible value for the NFTs, which will in turn create demand, speculation, and velocity.
There is no way to add a “2% boost” to apy, it’s all dynamic/relative
Users only holding native vault assets will not be receiving a boost (this is in line with fully reinvesting rewards in these setts)
Emissions to native setts and non-native setts on the whole continue along previously described strategies, this only affects emissions within those categories.
No boosts can be implemented until badger boost is live