Where do you find such staking rates

avatar
(Edited)

▶️ Watch on 3Speak


Today I publish the weekly CTPSB post a bit later than usual because I've spent the day in a different Swiss town. My daughter is doing Karate and she took part in the Swiss Championships. The problem was that because of Covid, the parents were not allowed into the hall where the competitions took place. I spent my day walking around the town and around the building until I've found a small window from where it was possible to look into the hall. I've been stuck to this window for the rest of the day :-).

Comparing staking and burning rates

When I look at Hive-Engine tokens, I always try to look at the fundamentals. There are the tokenomics aspects, use case aspects, the trust aspect and also the supply aspects. For the supply aspects, the key numbers that I look at are staking rate and burn rate.

The staking rate

The staking rate is the percentage of the circulating token supply that is staked by the token owners. If this rate is high, this shows that the token holders trust the token and it's development. You stake the tokens that you want to keep and you sell the tokens that you don't want to stake.

The burn rate

When you look at the burn rate it's the percentage of the total token supply that has been sent to null. A high burn rate shows that there are mechanisms in play that are reducing the supply. If tokens are burnt, this means that the liquid supply is decreased and the staking rate is increased. Combine this with a constant demand and this has a positive effect on the token price.

If the demand is constant, a reduction in supply creates more scarcity on the market and the prices tend to go up.

A little comparison

I've analysed 3 Hive-Engine tokens and looked at their staking and burning rate:

TokenStaking rateBurning rate
POB90.15%0.42%
SPORTS89.99%1.14%
CTP90.47%2.67%

I would have liked to add LEO to this comparison but it's very difficult to do that because the token is spread on 3 different blockchains.

For me the staking and burning rates are among the factors that I look at when I try to analyze hive-eninge tokens. Maybe it can help you with your investment decisions.


Learn more about the CTP Swarm Booster:


▶️ 3Speak



0
0
0.000
14 comments
avatar

Not bad for the little token that could :)

One day, the blockchain will see what we are building here! lol

0
0
0.000
avatar

Exactly, slow and steady, maybe not in the spotlight but we will see :-)

!ENGAGE 20

0
0
0.000
avatar

Thank you for your engagement on this post, you have recieved ENGAGE tokens.

0
0
0.000
avatar

The staking rate is approximately similar but the burning rate if #CTP is approximately double the sports and 6.5 times the POB
Intresting information...
As Ibcan guess the burning of token is done by the developers or project initatior? (In most cases )

0
0
0.000
avatar

As Ibcan guess the burning of token is done by the developers or project initatior? (In most cases )

Mostly yes , the only other way it is burnt is during the promotion of posts.

Posted Using LeoFinance Beta

0
0
0.000
avatar

Ok thanks for the clarification....

0
0
0.000
avatar

I mean everybody can send tokens to null but really only the token owners have a real incentive in doing so.

!ENGAGE 20

0
0
0.000
avatar

Thank you for your engagement on this post, you have recieved ENGAGE tokens.

0
0
0.000
avatar

Very good info. I am glad that I started all this with CTP. It seems like it was a good place to start

0
0
0.000
avatar

CTP has become a stable token with sound tokenomics. It's a great place to start also because the community rocks :-)

!ENGAGE 20

0
0
0.000
avatar

Thank you for your engagement on this post, you have recieved ENGAGE tokens.

0
0
0.000
avatar

I think the staking rate is nice but it kind of depends on the rich list as well. If one person makes up for 90% of the staked tokens, I am not so sure if I want that token.

Posted Using LeoFinance Beta

0
0
0.000
avatar

I agree with you. I saw a very good illustration of that with another token. The better the supply is spread, the more meaningful this staking rate is.

!ENGAGE 20

0
0
0.000
avatar

Thank you for your engagement on this post, you have recieved ENGAGE tokens.

0
0
0.000