MAP Rewarder: MAPR Payouts to Delegators and Price Increase for Token-Holders for 31 August 2020 (19.2% APR)

accelerator (67)in Project HOPE • 4 years ago

Earn significant passive income with STEEM without locking SP by investing in MAPR tokens.

This week's distributed profits are 0.368%, equivalent to 19.2% APR and 21.1% APY.

This is higher than most individuals can earn from vesting their own STEEM.

There is a lot of information to get through today, so please read the News below very carefully.

General Info

Remember that MAPR has a unique distribution and pricing system. If you look at the MAPR tokens you, as delegator, have received today, multiply that number by the new official BUY Price and you get the same amount in STEEM as you would have done under the old system of just paying out STEEM transfers.

Token-holders receive no token distribution, unless they are also delegators. Their profit comes in the token price increase.

The added bonus is that if you don't sell this week's tokens, then next week their value will rise to at least the new BUY Price. This is how the token allows compounding of profits, for both delegators and token-holders.

Using the language of investment trusts, delegators hold "income" stakes where the "interest" is paid out in tokens, whereas token-holders have "capital" stakes where the profit is added to the token price.

A reminder that new delegations start to earn 2 days after the day of delegation. This means that the first week's payout will be lower than for a 7-day week. Also, as payouts are done on Mondays, delegating on a Saturday or Sunday will yield no distribution till the following week. This has always been in place and is to avoid people trying to game the distribution. The positive part is that there is no unstaking period for the tokens, merely the standard waiting time for undelegating.

MAPR: The Numbers

All these numbers relate to a 7-day period (Monday to Sunday) and calculated in STEEM per SP.

Value of Steem upvotes = APR 41.3% [1a], 23.5% [1b], 22.8% [1c]

Value of Steem author rewards payouts = APR 20.7% [2a], 11.8% [2b], 11.4% [2c]

Distributed MAPR payouts = 0.368% (APR 19.2%) [3]
Projected Compounded APY 21.1% [4]
Average APR 18.2% (26-weeks)

MAPR BUY Price: 1.1890 STEEM [5]
MAPR Price increase = +13.2% APR
MAPR SELL Price: 1.2190 STEEM [6]

[1] Theoretical maximum value of Steem upvotes, assuming 10 full upvotes at 100% power for 7 days, averaged over 7 days and expressed as an APR. This calculation was performed for an SP of 1 million STEEM to be as close as possible to linearity. Your own upvote will be somewhere between 50-100% of this value.
The values are now calculated for three levels of voting power: 1 million SP (a); 10,000 SP (b); and 1,000 SP (c).
[2] Theoretical value of Steem upvote author rewards, assuming 50% curation rewards, 50-50 split of post payouts and SBD print rate, averaged over 7 days and expressed as an APR. Your own author rewards will be somewhere between 50-100% of this value.
[3] MAP Rewarder distributed payout sent to delegators this week as tokens and the MAPR price adjusted to reflect this.
[4] Equivalent compounded yield as an APY for this week's distribution in [3]. We now have enough data to give a better historical picture of progress and have including a 26-week average to give a measure of medium-term returns.
[5] Our BUY price is the price you may sell your MAPR tokens such that their value in STEEM is the same as if this week's distribution was done by direct STEEM transfer.
[6] Our SELL price is about 1% above the BUY price.

Our MAPR distribution [3] is much higher than the average blockchain author rewards for most users [2b & 2c].

Profits will be paid today in the new MAPR tokens. The token buy-backs on Steem-Engine may need to wait a few hours for our power-down to take place.

MAPR News

Our income has been holding up above the 19% APR level! This means income is significantly higher than most users are receiving, see [2b] and [2c], and our compounded rate is now pretty close again to the author rewards expected from a 1 million SP vote (see [2a]).

Not much to add this week, as the Steem blockchain's upvote yield continues to fall slowly. Although the reward pool is now stable, in the 810k region, the recent claims remain historically low and hence the value of an upvote remains historically high. We are, however, seeing signs of a possible plateau, but too early to tell if it is genuine.

I note that DLeases have dropped significantly from around 24% to 21% APR. I did keep saying these should be coming down, and finally they have!

One small issue regarding power-downs: the 4-week period is useful but it means manually updating it more frequently. This means that each week's new ABV price may have a modest amount of tokens for a day or two until such power-downs have been converted to STEEMP. This is no cause for concern, just an awareness that one may need to wait an extra day. It is impossible to bring a power-down date forward without skipping a week.

The distributions to delegators continue to be done on a Monday, but adding the new buyback price is currently done on Tuesdays, hence also the slight delay in posting.

We shall continue to generate yields that are as high as we can given the economic model and in the hope that activity - voting rshares activity - will pick up further.

And finally, although our weekly returns are variable, here is a graph of how the token price has been performing since the MAPR token was launched. (Thanks to @gerber for the discord-bot.)

MAP Rewarder, without the token, has been in operation for some 30 months, so you can extrapolate back from that graph to get an idea of our returns to members. We celebrated 2 years of operations at the start of February.

Anyway, don't panic! We may need to flatten the curve slightly but, to be honest, this is the least of our worries.

See you next week!