MANTRA DAO Is Boosting Its Ecosystem With OM Ecosystem Incentives
When thinking like a traditional financial institution, it may seem counterintuitive to give away profit and voting rights to complete strangers who use the platform. For MANTRA DAO, that is exactly what is going to occur to further decentralize its network governance and promote platform usage.
Building on the Polkadot blockchain to be able to provide lightning-fast staking, lending, and governance opportunities, MANTRA is giving away one million OM tokens to stakeholders in the Polkadot economy to boost adoption.
Democratizing MANTRA DAO
OM is the native cryptocurrency of MANTRA DAO, with its distribution pushing the platform further to its goal of becoming a fully decentralized autonomous organization. The more community members that hold OM, the more democratic principles will reign supreme, giving everyone a voice and a piece of the pie. With plans announced in late 2020 to ramp up OM reward programs, MANTRA will be giving 500,000 OM to KSM nominators and 500,000 to DOT nominators. In order to earn OM on top of your initial yield, the only extra step you have to take is delegating your stake to the MANTRA DAO validator nodes. This means that anyone staking either of these coins using polkadot.js will have the opportunity to gain additional yield by also earning OM on top of their staking returns.
This one million OM incentive will be the second of its kind to commence in 2021, with the first taking place throughout January. The current round has already begun, encompassing the whole month of February and giving users a big window in which to gain access. Users will start instantly gaining yield when they start delegating their tokens to the MANTRA DAO nodes, with native rewards being distributed every 24 hours for DOT nominators and six hours for KSM nominators. DOT stakers will receive an approximately 13.5 percent APR for staking, while KSM depositors will receive a 14 percent APR.
Beyond these returns, stakers will also earn proportional OM rewards. The distribution of both pools of 500,000 OM is determined based on the individual node contribution to the total staked amount. The higher proportion an individual’s stake makes up of the entire supply, the larger the OM reward for that user.
Claiming OM Rewards and Unlocking Tokens
In order to accommodate the needs of platform users, MANTRA offers two options for users to claim their OM rewards, a Short Claim or a Long Claim. If you opt for a Short Claim, you will only receive 20 percent of the accrued rewards from your principal deposit, forfeiting the other 80 percent to be reinvested to benefit long-term stakeholders. This is triggered by reward withdrawals that occur within one month of staking. If a user waits out for the Long Claim, taking six months to complete, they will receive 100 percent of the OM rewards they accrued.
When staking through MANTRA, there is an unbounded period before a user can access their stake, a time period where the coins are getting unstaked from the network. For DOT nominators, this period is 28 days; KSM holders on the other hand only need to wait seven days. This does not affect the claiming of rewards, just the initial stake.
Decentralized Staking and Lending Creates New Passive Income Opportunities
With each reward initiative distributing more OM to the community, MANTRA becomes stronger as a decentralized platform. Creating the ability to empower everyday users and investors to earn passive income through staking and lending, MANTRA forms a platform anyone can use permissionlessly and without a single point of failure.
In an age where centralized power over technology is becoming more evident, seen recently with the banning of certain social media platforms and the stifling of open market trading due to corporate interests, an autonomous organization that can guarantee stable wealth preservation over time is the average Joe’s ultimate financial remedy. MANTRA DAO is well-positioned to deliver a working solution that can support this narrative of handing more power to the people.
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OhNoCryptocurrency via https://www.ohnocrypto.com/ @Bitcoinist, @Khareem Sudlow