The Minimum Stake for Nimiq 2.0 with Albatross (Proof of Stake)

Discussion
#1

" Albatross is a new proof-of-stake blockchain consensus algorithm co-created by Nimiq. It achieves sub-second transaction confirmation and peak performances of over 1000 TPS without requiring delegated staking, slashing, or compromising censorship resistance. The minimum stake is 1000 NIM only, offering everybody a chance to participate. "

The minimum stake is 1000 NIM only

I was wondering what you guys think about the minimum stake of 1000 $NIM which is $0.68 at moment of writing. Recently I began staking on a different platform. The minimum buy in was 10,000 Tokens which costed me around ā‚¬650. That same token Iā€™m now ā€˜ā€˜Stakingā€™ā€™ is already a top 20 coin on coinmarketcap.com.

I understand that we want the barrier for mass adoption to be as low as possible. But I think that barrier of 1000 NIM minimum amount for staking can be higher.

I would suggest 10,000 $NIM. Why? Cause I think spending just under $7 to stake is a reseanable amount to begin with. The value of 10,000 NIM wil rise and over time it will be more expensive to get the minimum stake. Hodlers will be rewarded in form of a rise in value.

How do you guys think about this? Would you like to see another amount of minimum stake? For example:

  • 50,000 ($35~)
  • 100,000? ($70~)
  • 1,000,000 ($700~)

Let me know how you think about this.

3 Likes
#2

Iā€™m ok with keeping it low. It would be an unnecessary hardfork to lower it later on if 10,000 NIM for staking as a min turns into a large fiat payment just to get there.

4 Likes
#3

I agree with Sandman here. Having it set to 1000 is more future-proof in my opinion. We canā€™t decide the price but in the end we are looking for a positive trend of course. Being $0.68 worth right now will give you flexibility to increase over time and still give people a chance to stake.

Staking is planned in Q3 so enough time for price movements to happen. OASIS is on itā€™s way, a new wallet app is in development and the change of the supply curve.

Thank you for bringing up the topic. Having these discussions on the Forum are really valuable.

3 Likes
#4

in my opinion, a more balanced and interesting solution could be 10,000 NIM

Clearly affordable for most and with more satisfying results for staking

1 Like
#5

Something to consider is how the minimum amount required for staking would affect the equilibrium price once the switch to PoS takes place. I would argue that the higher the minimum quantity required for staking the lower the equilibrium price is likely to be, because less people would be able to stake. When it comes to the equilibrium price for PoS, I would say the more the merrier, and Iā€™m talking about the number of people that can stake their NIM.

3 Likes
#6

Reading your comment, I agree with ā€œthe more the merrierā€. The reason is simple: Adoption by many and if/when one decides to drop out, it does not hurt as much. That goes for anything, really.

2 Likes
#7

I just finished looking at the staking guide for Polkadot. They give an option to choose multiple validators, and have your stake split between them. Is this something that is possible or desirable for Nimiq 2.0? I guess the purpose is to even out the risk that one of them goes offline for some reason.

#8

At the protocol level, yes. Staking is just the action of transferring NIM to a special contract (the staking contract). You can make several transfers to different validators thus splitting your stake.
The UI is not done yet, so I donā€™t know if weā€™ll actually allow it in the Nimiq Wallet or not.

5 Likes