We would like to hear your opinion on the DAPS minimum staking amount. Please take a moment to read why and then cast your vote.
One of the issues currently faced by PIVX, Quan and some other staking coins is that staking nodes with small amounts being staked clog the network with white noise communication. This is especially true for coins with set reward amounts and low inflation rates like DAPS.
The reason for this is that the weighting of the stake is so small that the chances of it ever minting the next PoS block is almost 0. These nodes also broadcast that they have in fact found the next block, however, because their stake is so small, they almost cannot win the “lottery” to mint the next block and so these comms clog the network periodically and as such are termed “white noise”.
This does not mean that they can never win the “lottery” to mint the next PoS block and receive the rewards, but they may get 1 lottery ticket, whereas a node with 2 mil coins might get 100 lottery tickets. Many PoS coins are now creating or adding a minimum staking amount. DAPS already has this implemented in our wallets, but we have not yet set a minimum amount.
PIVX has a recommended staking amount of 1000 PIV, Ethereum will have a 32 ETH minimum. As DAPS has a larger supply than these we are considering having a larger amount.
We have taken into account that as the price of DAPS increases, it may become more difficult to achieve the minimum amount and thus as part of the official DAPS wallets, we have the ability to change that minimum staking amount without having to change anything about the chain, but rather by releasing a new wallet version with the minimum staking amount altered to be more market equivalent.
The reason for having a minimum staking amount is fairly simple:
The less “white noise” there is on the network generated by these small staking nodes, the faster network can run and process transactions because it does not have the added overhead of processing all the “white noise”. Having no minimum, the masternode dominance will always be 40% because the number of staking nodes has the potential to be much higher. Having a minimum creates an opportunity for some to arbitrage between staking and masternodes for max rewards.
As was seen in our beta tests, specifically the second one, we had phenomenal transaction speeds. We would like to keep this speed up and by having a minimum staking amount, we can ensure that there is one less way for the network to become clogged or flooded.
Please cast your vote here: VOTE NOW