GameFi Mission Rewards Burn and EXP Aggregation

A rewards distribution system is only as good as its sustainability. An unsustainable model would dilute the value of the token and thus the value of its rewards, thus all rewards will undergo a burn and EXP aggregation system to ensure retention of value over time.

Staking your $GDEX tokens, providing liquidity, playing games, and being active on the platform are recognized as valuable actions in the gDEX ecosystem will allow users to enjoy benefits from gamified daily missions, along with long-term achievements which will offer significantly better rewards.

To maintain the compounding effect of GameFi Missions whereby constant incentivized participation continues, gDEX implements control levers to preserve token value and liquidity of rewards - adding constant buy and hold pressure

Every reward drop is distributed to GDEX ecosystem participants based on their current experience points (EXP) generated through staking and rewarded contributions.

When the total sum of EXP points of a GDEX ecosystem participant crosses a predefined threshold, his/her account will be upgraded to the next level, which means unlocking higher rewards multipliers and in-game or platform bonuses.

GameFi-Mission-Rewards-Burn-and-EXP-Aggregation_3508X2480.png

Accumulation of EXP points through GameFi Missions need to be paired with appropriate burn mechanics to avoid:

  • Overaccumulation of EXP using small stake amounts (‘stake-and-forget’ behavior) 
  • Generating extremely high amounts of EXP with a high stake of tokens on day 1 and unstaking principal token amount on day 2 (‘stake-and-run’ behavior) 

 

Points burn model is based on a current ratio between aggregated points and staked tokens - the higher the difference the stronger the burn rate, effectively preventing small-stakeholders from reaching the highest level unless they buy additional tokens. 

Example burn rate table: 

Burn rate table

 

1

0.0%

0.5

15.0%

0.25

20.0%

0.15

25.0%

0.1

30.0%

0.08

35.0%

0.05

40.0%

0.04

45.0%

max

50%

 

The relation between staked tokens and aggregated EXP points over the specific period of time can be visualized by the chart below, showing EXP accumulation curve for 2000 tokens staked non disruptively over the period of 30 days (assuming daily points generation): 

 image8.png