Think of Elitium Staking Program as a contract in which you decide to make a certain amount of currency in your wallet unavailable for any use-case (i.e. can't be withdrawn or used to process transactions) over a customized period of time and in return, you are rewarded with EUM tokens monthly based on the amount of tokens you put into the Staking Program. This is another program that allows the Elitium users to receive extra remuneration with EUM tokens while they enjoy the luxury lifestyle services or just invest their money in the network.
Source
Although users get to mine EUM token through the two; the EUM Staking Program is different from the Loyalty Program. The former requires that the users have some EUM tokens kept in the wallet for this purpose only. These tokens cannot be used to pay for goods or services on the platform. But having them in your wallet for this program generates extra compensation which can then be used to run transactions or withdrawn. Whereas, the Loyalty Programs generate free EUM for you based on the number of tokens you spend in running transactions in the ecosystem. As you buy luxury goods and services in the marketplace, you will be rewarded with extra tokens that you can spend as you please.
The Staking Program will be made available once the Elitium Lifestyle app is launched by the fourth quartile of the year (2019 Q3). This feature and the way it works are subject to change depending on the licenses and documentation required.
Purpose of EUM Staking Program
The three main purposes of this program on Elitium ecosystem are discussed below:
Secures the network
When users hold some of their tokens in the system, it stabilizes and secures the network. Having most of the users holding their tokens will make the platform stronger. Coin hodling usually makes the network stronger as it signifies long-term investments in the system. There are ranges of benefits that come from a strong network. And it is the same everywhere, not just on the blockchain.
Buttresses EUM stability
Volatility is a well-known attribute of cryptocurrency. This occurs when a token value rises and falls indeterminately, and is majorly caused by the influence of short-term investors who are disposing too many tokens into the market. Here, the law of demand and supply is in play; the presence of too many tokens in the market leads to higher supply than demand, and this affects their values.
Since the users stand to gain a lot from staking their tokens in the program, they would be more than happy to hodl EUM in their wallets. This will maintain the level of volatility in the market, increase the EUM value and make the network stronger. It is a win everywhere.
Incentives for adoption
Not everyone will be interested in a luxury lifestyle. Some are just diehard cryptocurrency enthusiasts who like to invest in lucrative projects in the blockchain industry. While the Loyalty Programs benefit those that are interested in luxury lifestyle the more, the Staking Program takes another dimension to attract another set of users with different interest – the investment fanatics.
Long-term cryptocurrency investors are used to coins hodling. They understand the fact that they stand to gain market control later when the Bull Run commences and how this affects their profits positively. But the EUM Staking Program brings something new; something that has never been done before. Tokens will be multiplying in the wallets without a need for owners’ interference. It is an automated process; a form of smart contract that mines EUM for users while they are busy attending to other day-to-day calls. This will aid mass adoption of EUM and again, benefits every party involved in the ecosystem.
How EUM Staking Program Works & How You Can Join
The Elitium team has devised a brilliant plan that will make this ecosystem beneficial to all participants. You do not need to be a luxury lifestyle brand or consumer to join the network. Anyone could just sign-up, deposit some money and start receiving remuneration monthly without the need of partaking in other activities on the platform. The steps required in doing that are listed below:
- Firstly, download the Elitium lifestyle app. It is cross-platform and should work on whichever device you intend to install it on.
- Now create a user account and wallet, and setup your profile as it pleases you. Link your profile with your social media accounts or don't, it doesn't have any significance here.
- Register and complete your KYC/AML verification.
- Deposit and convert fiat money to EUM using the Elitium's Online ATM service.
- Hold the tokens in your wallet to use it for the Staking Program.
You will be rewarded with a particular percentage of your staked token monthly as incentives for joining the program. This percentage will be made known to the public soon after the team has taken all document and licenses into a measure.
You can decide to withdraw your monthly remunerations or spend them in the luxury marketplace. It all depends on you.
Departing Thoughts
The EUM Staking Program shows the cryptocurrency world how to solve one of its most significant problems; volatility and make the industry stronger than it currently is. Honestly, I wonder how the Elitium team came about such a brilliant idea.
It is not just an idea. All that is preventing this program from kick-starting is the launch of the lifestyle application. We shall see this in play before the end of the year 2019.
Previous posts on Elitium:
- Elitium: Transforming The World Of Luxury
- How Elitium Solves The Problems Associated With Luxury Lifestyle
- EUM - The Elitium's Native Token
- The Elitium Lifestyle App