The Staking Revolution: Lending your Riders
Lending is a revolutionary way to stake your NFTs: Riders can be lent out to other players on a seperate marketplace. This means you can earn money for letting other people play for you! Other players can then rent your Rider for a given amount of time and do whatever they want with them (participating in competitions, events, staking, etc.) to earn rewards for their own Riders.
Copy Token mechanism
If a player decides to rent a Rider, the token metadata of the Rider’s NFT will be sent to what we call the “Copy Token Contract” (CTC), which then mints a new NFT totally analogous to the original Rider, but with an additional expiration time minted onto the new tokens’ metadata (as part of the Token DNA for example). The smart contract of the game checks for the expiration time of any NFT played with, and denies access for expired NFTs to any game feature. This Copy Token system allows the lender’s original NFT to permanently stay locked in the lending vault without having it decrease in value, since the newly minted tokens are only Copy Tokens, which, as we have just seen, will lose 100% of their value after a given time. Original NFTs are locked in the vault as long as there are Copy Tokens of these NFTs which are not expired yet.
To visualize the idea behind this we will explain it from the perspective of two players, Alice and Bob. Let’s assume Alice has been playing for a long time and has earned a lot of SKILL and POW. Now she would like to play the game less or even stop entirely. If she quits, the game loses a player, which would be against everyone’s interest. This is where the lending mechanism comes into play: During all the time she played, her Riders’ stats got on a very high level and other players may have big interest in her Riders. Instead of just selling them to another player (and by doing so losing them forever), she can simply lean them out. By listing her Rider on the lending marketplace, she can set her own price in POW and other players can compare her lending offer to other offers on the marketplace. Now if at a later time Alice wants to play again, she would not need to start with a new Rider but can simply delist her Rider from the marketplace again. And while she enjoyed her break, she still made some substantial amounts of money. Now Bob on the other hand is new to the game and rather a gambler than someone who wants to go through the entire training process until he can try harder tricks and face the big bets. He believes he’s good enough to handle a better Rider and earn faster this way. So he can go to the lending marketplace and lend a Rider from Alice. He has to pay her fee, but he’s sure that by having a better Rider the profits will outweigh the costs in the end.
We can therefore see that there are multiple advantages to the lending mechanism:
- It reallocates the total playing time from players in non-active phases to those which are eager to play. By doing so the mechanism strongly contributes to the game’s overall activity.
- It allows for a lot of different strategies (e.g. lending a better Rider to stake it, so you can earn more SKILL for your own, lower-level Riders, etc. etc. — get creative!)
- Since the original Riders are locked, the status quo within the game gets mixed, as better players are tempted to lean out their Riders rather than using them in competitions. This gives lower-level Riders more opportunities to win.
Riders get ready for the revolution! This concept of lending and staking is something never seen before this way in the NFT space! Let us know in the comments what you think! We’re thrilled to hear your questions and ideas!
Note: This article has been moved here from the Chalet Lounge after our community has voted on using Medium instead of our own announcements blog.