Have you noticed that most of the TOP projects on Solana do not have SPL-token-based staking but more web2 way rewards? Mad Lads, Degenerate Ape Academy, y00ts, Famous Foxes...
Degenerate Ape Academy
First, I noticed it with DAA when they launched their staking rewards. You receive Opals there, which are not withdrawable and transferable! And you will be able to spend them inside the Academy ecosystem.
I thought - WTF?!
But I just staked my Apes and said, "ok."
DeGods
Then - y00ts Points. I am not a y00t or DeGod holder, but I follow what they create. Same - you can use points inside the DeWorld. Frank always makes something unique and innovative, so it didn't surprise me. And they already had $DUST and "normal" staking.
Famous Fox Federation
A few months ago, I joined the Famous Foxes community. Their Missions is something incredible!
But wait, Missions - is their Staking V2!
Yes, they have the usual staking with a $FOXY token. But at least half of the holders send their Foxes to Missions to earn XP and Chests.
With XP, you earn Levels, and after reaching a specific level, you can upgrade the Art of your Fox by paying $FOXY.
That's fascinating.
BTW, you can transfer part of the fox's XP to your other fox, with a 20% penalty.
Mad Lads
And yesterday, I aped into Mad Lads.
They just launched their staking rewards a few days ago.
And what did I see? It's a similar mechanic. You receive points for staking, and you can use them inside the Mad Lads ecosystem.
No transferable. No withdrawable. Using xNFT.
My thoughts
These projects noticed that SPL-token-based rewards don't work. People just dump the token price, and all your math becomes broken.
The project has to build such a strong utility and community to protect the token price, which is almost impossible.
Only one project which I know succeed with it. That's DeGods with their DUST.
- Upgrade from DeGods to DeadGods
- Raffles
- y00t mint
- Halvings
- Frank
That worked. But, well, don't try to replicate it. Most likely, you fail. I think a lot of projects have been tried.
One more project whose SPL token is still alive is Famous Foxes. But they are so focking strong builders. They have plenty of tools where you pay with FOXY.
Though, the price of FOXY is pretty low. I receive 100 FOXY per FFF, and that's just 25 cents.
With Fox $825 price.
But I will still hold 2 FFF and 1 TFF just because they are focking builders. I have my missions and plenty of tools built by the FFF team, and I am proud to be an FFF holder.
When we launched our staking for Danger Valley in January 2022, we had almost nothing but the community.
I always knew that we'd go the builders' road. And we must launch holders' rewards. So I didn't have any options (as I thought) except giving away SOL and launching BEAK.
But now I see better ways to reward our holders. And we are going to change the existing rewards for holders in Season II. Season II will start in August.
Summary
- SPL-token-based staking doesn't work.
- TOP projects noticed it a long time ago and modified their rewards.
- We are going to upgrade Danger Valley rewards in Season II.
- I love to be a part of the TOP Solana communities. We build it together.