Insights on staking platform 2.0 [ENG]
We have the beginning of May 2021. Johnny is looking for new investment opportunities in the cryptocurrency market and his attention was caught by the BasketCoin project. Johnny read WhitePaper, checked articles on Medium, followed Twitter and joined groups on Telegram to stay up to date on all BSKT news. While reviewing these news channels, he came across a message indicating the launch of the BasketCoin staking platform in a new, refreshed version. He began to study this topic with great interest, and what was his surprise when he fully understood the idea behind the BSKT staking platform.
Johnny then summarized the information he had gathered:
“Ok, so I need at least 5,000 BSKT to be able to stake them on the staking platform. It also seems that once I allocate at least 5,000 tokens, then I will be able to add any amount of BasketCoin to my staked pool, and by increasing my pool I also have a larger share of the total redistribution pool and thus should receive more BSKT. A similar situation occurs with regard to the staking length — the longer I stake my BSKT, the more I will get from the redistribution pool. I can also stop staking BSKT at any time without losing any previously accrued rewards, which seems to be fair.
Oh, right — the redistribution pool — a matter only seems difficult to understand. The pool is calculated on a monthly basis, so tokens representing 1% of all transactions made in April will be redistributed in May, and the team will add 50,000 BSKT per month throughout the next year, starting from May. In June, the redistribution pool will once again be the equivalent of 1% of all transactions from the previous month, i.e. May + of course, I cannot forget about replenishing this pool with an additional 50,000 tokens. It’s good that I dug into the address that “collects” BSKT on a monthly basis — thanks to this I will know how big the next monthly redistribution pool will be:
https://etherscan.io/address/0x9eabec9576a82036540988eb67407de15aa66d31
Now, a little simulation on some random data would be nice:
100,000 BSKT in a given month goes to the redistribution pool
We start staking at the very beginning of the month, only me and Amelia
I stake 30,000 BSKT myself, and Amelia 70,000 BSKT, so I have a 30% share in the redistribution pool, and Amelia 70%.
If we both stake by the end of the month, I will get 30,000 BSKT myself and Amelia 70,000 BSKT.
If Amelia withdraws her tokens from the platform in the middle of the month, she will receive only 35,000 BSKT, and I will become the owner of her share in the pool, so at the end of the month I will be able to receive 65,000 BSKT.
Hmm, the figures look promising.
To sum up: the case of the new platform is quite interesting, I wonder in what form the airdrop will be carried out for people who stake their BSKT tokens? — well, I will probably find out soon, and for now, I will allocate my BSKT for a longer time to passively receive even more of them.”.
About BasketCoin
BasketCoin is:
- Deflationary,
- With collateral — covering its value,
- With the system of repurchase and burning of BSKT tokens.
1. A fee of 2% of the value of each transaction will be taken from the transfer — half is burned out, the other half goes to the staking/reward redistribution pool which indeed speeds up the process of reducing supply. Smart Contract itself assumes that a total of 90% of all BSKT will be burned -> supply will decrease from 21,000,000 to 2,100,000
2. The BSKT token is secured with a basket of seven cryptocurrencies that cover its value. The security so adopted is intended to ensure a constant and stable increase in the value of tokens. Thanks to the correct match of coins in our basket, its value is less susceptible to fluctuations appearing in the cryptocurrency market. The BSKT token security chart looks like this:
- Bitcoin (BTC) — responsible for 25% of the value of the coverage,
- Ethereum (ETH) — responsible for 25% of the coverage value,
- Polkadot (DOT) — responsible for 10% of the coverage value,
- Smartkey (SKEY) — responsible for 10% of the coverage value,
- YfDAI.finance (YF-DAI) — responsible for 10% of the coverage value,
- USD Coin (USDC) — responsible for 10% of the coverage value,
- Basketcoin (BSKT) — responsible for 10% of the coverage value.
3. All listed cryptocurrencies that make up the BSKT basket will be used to generate additional profits on platforms such as:
- Crypto.com (profits of 3%-12% APR),
- YF-DAI (profits up to 72% APR),
- Swissborg (profits up to 20% APR),
- and other decentralized profit-generating platforms in DeFi format.
Revenues from these platforms will be used in the repurchase process for the redemption and burning of BSKT tokens, contributing to a significant reduction in supply on the secondary market. 90% of the above profits will be used for repurchase and burnout, while the remaining 10% will be used for ongoing and necessary expenses related
