[Suggestion] Contribution-based Airdrop Method
[Suggestion] Contributing-Airdrop Method
This article was written by Loum from EOS NodeOne and translated by Leo
to propose a new airdrop method to dApp developers.
We propose a Contribution-based airdrop method for EOS holders who are contributing to the EOS community.
We can distinguish between: 1) EOS holders who help the EOS community and 2) EOS holders who only care about their own interests on speculation, etc. Therefore, this proposal aims to make the EOS ecosystem healthier by providing more rewards to contributing (or beneficial to) holders.
2. Conventional airdrop method
In the cryptocurrencies, an airdrop is a way to give the new coins for free. There are many platforms that currently airdrop the free tokens. Including Ethereum and EOS, they will airdrop many tokens in (the) future. In addition, there will be also many impartial airdrops by a hard fork or a hard spoon.
The conventional airdrop methods are as follows.
Airdropping new coins proportional to the wallet balance. I call this an impartial airdrop method.
E.g. Bitcoin cash due to hard fork and eosDAC’s airdrop on April 5, 2018.
See) Everipedia, which is wikipedia's blockchain version, airdrop scheduled for 2018.6.15
Airdropping new tokens based on holder’s certain actions. We call this a mission-based airdrop method.
E.g. Iryo network airdrop for healthcare (This requires you to register your wallet address on the telegram.)
Since the above two conventional airdrop methods are not based on community contributions, seem to be aimed to increase the initial users.
3. What is the EOS ecosystem?
We grasp that EOS platform is a community in the sense of an ecosystem. In fact, the EOS platform has a BP voting and the governance that allows you to make suggestions, such as the constitution, which is totally different from Ethereum. It is also a new community platform with a delegate system where the producing BPs, as representatives, decide not all but some important issues including the inflation rate, etc. For example, even they could make a decision on a hard fork. Thus, EOS adopted a delegate system in part.
For these reasons, EOS holders are expected to: 1) constantly monitor and verify BPs supposed to actively and positively contribute to the EOS ecosystem, and vote for contributing BPs, and 2) offer the good proposals for the EOS ecosystem to enhance the value of the EOS. Hence, we may say that EOS is a platform operated by holders forming an ecosystem. This system is totally different from other coins which are repeatedly pumped and dumped.
4. New airdrop method for EOS ecosystem
Because of this ecosystem nature, we suggest new partial airdrop method to give more tokens to holders contributing to a healthy EOS ecosystem, as opposed to the conventional airdrop method only aimed to increase early users.
The principle of our airdrop method is as follows.
- Distinguish between the contributing holders and others.
- Airdrop more to the contributing holders.
However, the locked coins for using RAM by dApp developers are intended to provide their services. Also, the RAM squatting is a harmful activity that increases the cost of other dApp developers. For this reason, the locked coins for RAM should be excluded from the airdrop target.
4.1 How to distinguish contributing holders
Suggested example criteria for the contributing holders:
- [CPU/Net]: The staked coins on CPU/Net (for a certain period of time).
That is, the staked period of time can be added as the airdrop condition.
- [Proposal]: The users’ coins who has made an proposal (within a certain period of time) or satisfies certain criteria,e.g, the proposals have been adopted or received more than a certain number of votes).
- [long-term holders]: The coins not transacted for a certain period of time.
Please remember the above criteria and following examples are intended only to help you understand. Any member of community is welcomed to comment their opinions or suggest new criteria.
The contributing holders might receive more token airdrops than other holders, even twice. Below are two examples for this.
Example 1: 30% impartially, 70% for contributing holders
- [impartial airdrop] Airdrop for all holders: 30% (except for all coins that are locked in RAM)
- [for-contributing-holders airdrop] Airdrop for contributing holders: 70%
- 2.1) [CPU/Net]: 25%
- 2.2) [Proposal]: 25%
- 2.3) [Long Term Holders]: 20%
So, contributing holders receive both portions of impartial and for-contributing-holders airdrops.
Example 2: Only for-contributing-holder airdrop
- [for-contributing-holder airdrop] Airdrop to contributing holders: 100%
- 1.1) [CPU/Net]: 35%
- 1.2) [Proposal]: 35%
- 1.3) [Long Term Holders]: 30%
We suggest our Contribution-based airdrop method for contributing holders to provide more tokens for them. We believe that this can make the EOS ecosystem healthier in a more virtuous circle manner.
* Additional discussions
The EOS consensus algorithm, DPOS, is a reputation system that the producing BPs are only determined by the vote of the holders. The biggest feature of this system is designed to slap financial sanctions on BPs by only losing their votes which are tightly linked to their revenue. That is, the producing BPs do not deposit any collateral. Hence, the integrity of EOS ecosystem is highly dependant on voting.
Also, the producing BPs decide the BP portion of total inflation rate for themselves. Therefore, the integrity of the BPs is crucial to maintain EOS ecosystem. Namely, a healthy voting is of great importance in EOS ecosystem.
For this reason, we can add the following condition to the criteria of the for-contributing-holder airdrop:
- [BP voting]: The coins participated in BP voting (for a certain period of time), i.e., the duration of locked coins (with decay) for voting can be added as the airdrop condition.
However, the current constitution of EOS prohibits any compensation for voting. Thus, further discussion is required in the community.