Dear leasers,
I wanted to inform you regarding the changes that will come for the leasing rewards.
As we all (may) know right now we have an additional 6 waves per block as rewards. These 6 waves per block can be changed by the “Community-Driven Monetary Policy” (Community-Driven Monetary Policy | Waves documentation)… That means that each node can vote on their amount of waves rewards per block, if there is enough support, the rewards will be increased…
Now since update 1.4.16 there is an idea proposed (WEP-14)(Waves Ecosystem Support
) where the block rewards structure would change to:
1/3 of the waves go to Waves DAO
1/3 of the waves will be used to buyback XTN
1/3 of the waves will go to waves leasers
This way leasers will get less rewards by staking their Waves, so as we have seen in the past week, there isn’t enough support by the nodes for this idea…
So after we have seen there was no enough support , node owners came together to discuss the next steps and how we can improve WEP-14 so it may work
The results are as follows:
After feature 19 has passed, feature 20 and 21 can be voted on. (Release Version 1.4.17 (Testnet + Stagenet) · wavesplatform/Waves · GitHub)
In feature 20 the block rewards will looks like as follows:
2 waves → waves DAO
2 waves → xtn buyback & burned
Rest → will go to waves leasers. (So if the block rewards will increase by the Monetary Policy (for example 8 instead of 6) all the extra waves will go to the waves leasers. )
Waves DAO:
For all waves that goes to the Waves DAO, in return, there will be an Liquid token that represent the waves. That LP token can be shared to the leasers on a daily basis and leasers could sell these tokens (or swap after a lock period of 3 months)… (more information regarding this will be released soon)
XTN Buyback
Feature 21 will be introduced to make it possible to cease the option to buyback XTN with a share of the block rewards. If this vote will passed , that means that after 100k blocks after implementation of feature 19 (around 2 months) the buyback will stop.
So in other words, we could see the coming 2 months what results it brings and decide later on if we need to cancel it or not…
Stake / Block rewards
At that said, as we now know, the staking rewards will be reduced because of the changes. As we want to protect the staking rewards to our leasers we have decided to vote for a higher block reward. Our node is voting to increase the block rewards and we will support this till 8-10 waves per block.
2 → waves DAO (we get LP tokens in return but we don’t know if this results in success or failure)
2 → XTN buyback
4-6 → Waves leasers (as normal we would have 6 waves , so by upgrading the block rewards, leasers will get the same amount of stake rewards. (a little more because of the LP tokens).
When the XTN buyback will be ceased , we could stick at 8 waves , otherwise we could vote for 10 . That is why we choose for 8-10 waves now.
Conclusion:
In the coming period a lot will chance regarding the stake rewards. This all is been done in the best effort of Waves. Waves has some struggles and changes are needed for now! We at WavesAssist will support the continuation of Waves and also the best returns for our leasers! So we think this is the best way to follow for now:
- We have decided to support feature 19 & 20 at current conditions.
- We would love to see the results of the XTN buyback to decide if we should vote for feature 21 (cease the buyback).
- We will vote for a bigger block reward till 8-10 waves per block depends on the speed and success of the other topics.
At last, normally we are against improving the inflation but looking at the current state of Waves there is not really an option. So after we solved some of the biggest issues we will support to decrease/ remove the inflation again (as we always have done this by voting for a lower block reward).