Linear rewards live on STEMGeeks, up to 179% APR, math included
After asking the community if they want linear rewards, it is clear the majority would prefer linear rewards.
Effectively immediately, STEMGeeks will distribute linear curation rewards.
All votes on STEMGeeks are split between a 50% author and 50% curator reward pool. Under the current system, there are curators earning as much as 195% APR on curation rewards alone (this isn't even factoring compounding which makes it much more).
That means they are more than tripling their STEM tokens in 12 months. The majority of users are doing much less. This is partly because of voting time isn't as optimized but also not voting 100% on STEM content. Unless you have a dedicated account for your STEMGeeks voting, it is hard to optimize your curation rewards. Those that do though, are making 30-90% APY and in some cases even more.
A change to linear rewards will even the playing field for all curators. Regardless if you vote 1 second after a post was created or 6 days, you will earn the same portion of curation rewards. Basically everyone will earn 50% of their vote back in curation rewards regardless when you vote.
How much can you make with linear rewards?
Let's look at the @stemcuration account.
- @stemcuration has 177K STEM Power for curation.
- @stemcuration has a 96.44 STEM Vote.
- 10 votes a day is 964.4 STEM
- With linear rewards, half of 964.4 is 482.2/day in curation rewards
- 482.2 STEM/day is around 176,003 STEM/ year.
When you factor in compounding, you are looking at around 179% APR.
- 494,000 STEM after 1 year - 177,000 Starting STEM Power = 317,000 STEM
- 317,000 STEM / 177,000 Starting Stem = 1.79x
This is a larger account, and a smaller account maybe around 80% APR from my calculations. You can follow the same math to figure out your account.
The only thing that affects APR now is how much stake is voting and how far up the curve a post gets. Larger votes will benefit from the author reward curve slightly more than smaller votes.
This system eliminates the incentive to curation snipe and gives everyone a fair chance at curation rewards. Linear rewards has some benefits, but it isn't perfect and does come with some drawbacks as well.
The previous system tries to encourage users to find content they believe will be rewarded well, basically content people like. As we have all experienced, this isn't how it works in reality.
That being said, there is still a curve on STEMGeeks meaning as a post receives more votes, those votes become worth more. This forces the reward pool to gravitate (slightly) to popular posts and discourages micro payouts to low quality posts.
I will be monitoring the situation and as long as everyone is happy with how things go, I will leave it alone. I can always go back to a curation curve if the community disagrees with the change. As far as I have seen though, almost everyone has been happy with the proposal.
Anyway, linear rewards are live and effective immediately.
Let's see how this plays out 🙂. 179% is quite huge.
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I can't see it staying 179% forever, but it is a lot more than 8-10% on Hive.
By far.. Not comparable. So if I curate more on stem contents I too can get such APR even with a stem power of 1700.
As it is now linear rewards, everyone receives the same APR with the same amount of voting. The only factor left is how much stake is voting that will affect the APR.
Oh boy.
I wonder if this will make people actually look at content or pile on one post.
Will be interesting. Hopefully the first, we have the technology for the second.
Gimmi some 100%+ apr :)
https://twitter.com/Bhattg18/status/1329114109422444545
Hopefully this adds to the comments/conversation on here. It worked well for Leofinance.
Upvoting comments is now a worthwhile venture.
Lets see if the history repeats itself.
I am not a huge fan of comment voting under exponential rewards, but with linear rewards it is no longer a problem. On Hive it is frequently used to take advantage of zero competition voting.
I think there is a lot of value in comments and voting them, but with exponential rewards they were abused a lot and it is not always easy to tell the difference.
Comments are an important part of engagement but people don't vote on comments much these days because of the Hive change to rewards curve.
I think linear is better and simpler.
2 cents payout is the reason that most people do not vote comments. My vote is not worth 2 cents and voting on comments just drain of my VP with no economic benefit to other user. Tribe do not have that "cents " limits that make you free to upvote comments.
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The two cents thing or so called "dust vote threshold" is a reason why I've been using @dustsweeper for ages now. It works pretty well and is free to use.
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Exactly my thoughts. It sure piques my interest. I might start hanging out with the Geeks here too ;>)
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Sweet!
Very good news, now can you pressure other witnesses to do the same for our beloved 'utility token'?
Along with a cut off at 4 days for upvotes with downvotes available for the whole week.
Not a bad idea, downvotes need to stay... they have been very effective.
Stares at his bag of potential 'utility tokens'...
Fuck.
meestemboom account created for the curation!
I pulled my .tri account from under a large pile of dust last night. The tribes are getting interesting again, this one.. and LEO. Let's hope the rest follow suit.
Agreed! Dust em off!!!
I realised that I was kinda wasting my stem votes by having them in my main account I thought, why not create another and gain a smashing opportunity for a play on my username!
Classy :D
What about some science posts from up in the highlands?
I would have to be awfully careful, if someone found outi was doing scoence i would be run out of town!
Man your explanation about linear curve rewards was so simply and easy to understand
And I think I read that sports talk social also gonna use linear curve rewards system
Let's hope they do
That is a great move. I had already been thinking about wetting my toe over there and this just makes it that much easier to give it a try. As an aging engineer who doesn't do much engineering anymore it is good to flex the mind a bit and try to keep up with the whipper snappers over there. :)
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The linearity seems to be working for LeoFinance, so I don't see why it shouldn't work for this community. All depends on if people use as intended.
That APR is out of this world though!
Great news, I have 1k STEM power. Sometimes I upvote content from stemgeeks.
This is great, I hope more do the same. I just wish there was a way to set the percentage voting power for all the different tokens on a post. I don't want to necessarily give 100% Hive when I vote 100% Stem and It is too much work to set up multiple accounts just for different curations. Hopefully, @peakd will make this possible.
Maybe something like this which pops up when voting.
Hope it is ok to post this idea here.
I'm pretty confident a vote is a vote, at the blockchain level; so the condenser (websites like peakd.com) couldn't do this. They could potentially let you log in with multiple accounts simultaneously, and have them each vote at different weights, but you'd still need to have different accounts.
Thanks for taking the time to answer. I did hear there was some kind of function in Leo to set voting ratio but could not get it to work. Looks like I'll be dealing with an identity crisis in the near future.
!ENGAGE15
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ENGAGEtokens.Thanks for taking the time to answer. I did hear there was some kind of function in Leo to set voting ratio but could not get it to work. Looks like I'll be dealing with an identity crisis in the near future.
!ENGAGE15
You cannot sent token to yourself.
on leodex you can set the power different for each token (located on the reward tab called vote multiplier). i.e. is stem is set a 10 then a 10% hive vote would be 100% stem vote.
I will check this again when I get home. I tried before but could not understand it. Thanks
! ENGAGE15
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https://peakd.com/tribe/@abh12345/managing-the-voting-power-of-multiple-staked-tokens-3
Have a read through this one. There are 2 links which can help if you are only using one account.
Best to go for multiple accounts logged into your interfaces/tribes of interest though imo.
Thanks @abh12345. Sorry for late reply. You are right, I have opted to go for a new account for just for LEO.
!ENGAGE10
No worries, a wise choice!
ENGAGEtokens.You can adjust it on Leodex. For example if you vote 100 posts and only 30 contain STEM tag you can set your voting weight to 3 to accommodate it. you can also do it vice versa. Just go to LEODEX, rewards and set vote multiplier for each token separately.
I have tried this but still, have my HIVE power draining very quickly. I have decided it best to start a new LEO specific account. Thanks for your advice.
!ENGAGE20
Having separate account is best. But personally i don't like the idea of owning multiple accounts. I am gonna try this for a week or teo, if it works upto 60% or more then I would go for another account but will see.
Thanks.
ENGAGEtokens.Cool!
Edit: I don't like to be rushed. i like to come here read what i want to read and then vote. What i find is when it comes to voting, it fucks with my head when i see that autovoters will end up being the big winners.
this has been a big stumbling block for me lately in wanting to take part / buy.
sry edited a few times. Voting for equal rights for bots (auto voters) and humans. :)
It is only fair for usual content consumers. Just vote after you have consumed the content.
Really true
Great news. More incentive to increase my STEM holding