Understanding more about KAS mining reward redistribution at GhostDAG.org
Step 1: Entering the GhostDAG ecosystem
As a first step, users looking to leverage KAS mining rewards in the form of an ERC-20 token can choose to acquire the GDAG Token. This acts as a tollgate to the GhostDAG mining ecosystem giving users an opportunity to partake in KAS mining revenue redistribution.
The GDAG token trades on the Decentralized Exchange Uniswap and is available here:
In order to enable and foster decentralization through community ownership, it is important to be majority owners of the liquidity that drives the Project. Therefore holders of GDAG who want to benefit from Mining rewards will require to acquire GDAG - WETH LP Tokens via a staking Pool.
In brief, holders of GDAG stake the token, and receive GDAG - WETH LP Tokens as a reward. The LP Tokens then are further staked in the mining rewards pool to earn ETH (generated from the KAS mined and then liquidated for ETH)
Users will note that as of 19th Dec'23 to 20th Jan'24, the mined KAS rewards will be airdropped to Pool 1 stakers based on amount of GDAG Staked. Post this, a revaluation will take place on the need to proceed with a Pool 2 or not.
Why stake GDAG tokens instead of just airdropping rewards?
Staking GDAG Tokens cements the long term view of holders interested in the Projects overall success. It is not mandatory to stake, users can hold and trade the GDAG tokens off their own free will without engaging with the staking pools, but will also forefeit the mining rewards as a result.
An LP Token cannot be typically bought (unless it is paired with another tradeable cryptocurrency such as USDT or WETH). It can be created by adding Liquidity to the trading pair. i.e. User supplies equal amounts of underlying Token and WETH and in return receives LP Tokens that also earn 0.3% of fees on daily traded volume relevant to their share of LP Tokens provided into the pool
How do I get the GDAG - WETH LP Tokens then?
A user may feel free to add liquidity to the GDAG pool and create fresh LP Tokens for themselves. However at the outset, 60% of GDAG Liquidity (amounting to roughly $900,000 at current market price, this varies as the token trades) will be given out to GDAG holders who are participating in the staking Pool. Holders can stake their GDAG tokens and receive the LP Tokens as a reward basis their Tier.
I have GDAG - WETH LP Tokens, what next?
You will stake them in the 2nd pool, the mining rewards pool, to receive your share of ETH generated from the KAS mining activity, again relevant to your respective Tier.
Why are there tiers in staking, why not give out fixed percentage?
Tiers help incentivize protocol growth. Additionally having a fixed amount has been found to make most of the existing staking protocols excessively whale friendly. Therefore a tiered approach has been used to balance out the game theory and allow for everyone to participate based on their respective strategy to seek yield.
Step 3: Monitoring Rewards generation
A holder who decides to stake GDAG tokens, and subsequently stake the earned GDAG - WETH LP Tokens to participate in the mining rewards, can track the performance of the daily mining activities via the F2 dashboard. In order to ensure ease of access and transparent governance, the GhostDAG.org mining operations will be conducted via F2pool.
Details on the same will be available on quicklinks and website as soon as operations are live. Current ETA 15th Dec 2023.
Institutions: DC colocation
As a licensed and regulated entity, GhostDAG.org is happy to extend colocated mining services to individuals and institutions to participate in pooling hash power.
Fees begin from 5% of net from December, reducing sequentially in a laddered approach for each subsequent month with an aim to draw down to 0.1% eventually as operations scale.
However, the fees remain size-dependent and negotiable for participants wanting to get a better rate.
Interested parties looking to operate at scale can reach us on [email protected] to talk about preferential pricing.
All calculations are performed at a rate of USD 0.1 kWh
Site visits (2 way NDA factored) and customized options can be facilitated given successful closure of high value deals.
All institutional and individual pools operate outside of the GDAG pool in order to avoid any confusion and maintain transparency for respective entities.