Tech Deep Dive
Main Net Overview:
A Network Created By the People, For the People. It revolutionizes Social-Fi in the blockchain space, by letting users to earn from every project or community’s user base growth through staking under its Karat Validator.
In this article, we will introduce how you can
- join Karat MainNet on Aug 22nd as a claimer to get your free KAT
- stake into the validators with the highest growth potential to earn with them, and 3. stake to be a validator yourself gaining a maximum return.
How Much You Can Earn?
A total amount of 70,000,000 KAT is going to be mined out and distributed to all participants for free in the 1st month. There will be 5,000,000 KAT available to be mined out on the 1st day, 8/22/2023. Each day the mining rewards get smaller. The rewards decrease by around 5% every month, which equals 0.2% per day.
The rewards claiming and snapshot time is 3 PM PST California Time every day. When withdraw your rewards, there will be a 5% processing fee every time. So stake longer, one will have smaller frictions and higher returns.
How to Join As A Staker?
To earn KATs, users can stake the projects that they believe will have the highest growth by staking under the projects’ Karat validators.
To maximize one’s return, one needs to find undervalued, under-staked, validators with the most user growth potential and stake under their validators.
How to Join As A Claimer?
In order to become a Claimer, all you have to do is select your favorite Validator and verify your Web2/Web3 credentials under the validator. This will mint you a Claimer’s Pass for free, and make you eligible for our unique verify-to-earn program.
How to Join As A Validator?
In Phase II, one will need to stake a minimum of 35,000 KAT to be a validator. Once you are a validator, you will able to
- Send out your own posts in Karat App’s News Feed.
- Launch exclusive campaigns and quests that users will be motivated to join because of KAT mining.
- KAT Mining rewards thru running the validators.
Advanced Earnings Tree Analysis
How Much Can Claimers Earn?
Each user when registering Karat ID thru any validators will get a KAT Score based on its onchain+offchain assets and activity level. Check https://docs.karatdao.com/score for details.
The Daily KAT reward (The 1st day, for example, is 5,000,000 KAT) will be distributed to claimers, validators, lieutenants, and stakers based on everyone’s KAT scores.
For each claimer added, its’ KAT score will be divided into 2/3 going to the claimer itself. 1/3 going to stakers, validators, and lieutenants.
How Much Can Validators Earn?
Each Validator will be getting a weighted score of 1/3 of each claimer. The weighted score is calculated based on the validator’s staked KAT amount/ the total staked KAT amount in the network
After 1/3 of a claimer’s score is weighted, it will be divided into 2 parts, 20% for the Validator and 80% for the Stakers.
Lieutenants: If the users are joined thru a lieutenant, the lieutenants will get 20% of the validator’s earnings.
How Much Can Stakers Earn?
Stakers get around 27%of each new claimer joined thru the staked validators. Each staker gets KAT return based on:
Self-Staked Amount/ The Validator’s Total Staked Amount.
Validator1 and Validator2 both have 1000KAT staking amount. A new claimer claims with a 1500 karat score with a lieutenant.
The kat reward of the each day is 1750KAT:
Claimer score = 1500 * 2 / 3 = 1000
Weight score = 1500 * 1 / 3 * (1 + (1000 / 2000))³ = 1687.5
Total Score = 1000 + 1687.5 = 2687.5
StakerScore = 1687.5 * 8 / 10 = 1350
ValidatorScore = 337.5 * 0.8 = 270
LietenantScore = 337.5 * 0.2 = 67.5
Claimer Reward = 1750 * (1000/2687.5) = 651.16 KAT
Staker Reward = 1750 * (1350/2687.5) = 879.07 KAT
Validator Reward = 1750 * (270/2687.5) = 175.80 KAT
Lieutenant Reward = 1750 * (67.5/2687.5) = 43.95 KAT