Hey Hivers,
Following a conversation with some good questions raised by @arcange, the below should help SPK Network supporters make the most of their LARYNX tokens to obtain SPK Governance tokens. We hope this helps max out your SPK token mining as well as understand a little about the context of why things are being rolled out like they are:
Q1) Hey, it's hard to find good documentation on how best to use/ invest your SPK-related tokens. For example, it is better to gov-lock all your LARYNX tokens as a node operator or keep a few liquid. Does it change something?
For now, all you can do is delegate LARYNX to node operators on the SPK chain. But as this builds out you will be able to delegate to other infrastructure operators such as CDN, encoder, storage, and validator node operators.
The central pins of the ecosystem are the validators, who will earn exceptional SPK rewards. All content and files flow through them. They will be elected with SPK via a top 20 vote (maybe more than 20). The more infrastructure they operate in an efficient way that suits the community, the more likely they are to be voted in as top validators.
Q2) OK, but speaking of me as a node operator, should I lock all my LARYNX now?
Is there any advantage to doing so?
Yes. As a node operator, it would make sense to lock all of your LARYNX into gov now if you wanted to max your SPK rewards.
The idea is that the more infra you operate, the more likely you will be elected as a top validator.
Q3) What's the benefit of doing so?
This will max your SPK rewards. As @threespeak will not, for example, we also want to delegate to other operators who have genuinely worked on this ecosystem without much reward from the start.
This means we will not make as many SPK tokens, but more SPK will be spread further. As supporters of the ecosystem, it is also in our interest to make sure that SPK is spread far and wide, so we will both delegate to other node operators as well as stake. Both methods will earn SPK, and delegating will spread it further throughout the community.
Q4) If I have an alt account with LARYNX, is it better to transfer them to me than lock or delegate?
If you want to max your SPK and are a node operator, send them to your node and lock them in. Later there will be a permanent lock-in option, which will give you a much better return. But you won't get your Larynx back with perma lock-ins. They will recycle to the SIP. By recycling Larynx to the SIP, it will encourage liquidity to flow into the SIP from people buying Larynx miner tokens to improve their mining efficiency.
The idea is that as you stake or delegate your Larynx, it will decay over time and end up back in the SIP where people can buy it from. This decay of the Larynx tokens back to the SIP rewards node operators, who are adding liquidity to the SIP by buying the latest Larynx miner tokens that come onto the market
People are buying Larynx from the SIP lock in these payments permanently to the SIP to create liquidity and DeFi fees, For the community.
Alternatively, we would advise keeping some dry powder Larynx and using it to delegate to other proven node operators who are operating more than just SPK Claim Chain Nodes. I think this will also be seen as favorable in the community. Are you here to earn SPK or here to spread it? A balance of both is good, IMO. Especially if you are a whale and want to ensure distribution is good. And at the same time, incentivize the most dedicated infra operators.
Soon, you will be able to see who is operating which node types, as well as just a chain node. (Chain nodes are not resource intensive as they are great layer two systems where almost everything is on hive layer one - so Speak Claim Chain nodes are super lightweight).
Intensive resources will be when operating encoder nodes, storage, validator, and content deliver nodes. That's where we need to ensure SPK is distributed to encoder nodes operating. Anyone can run one. But they aren't tied into SPK rewards yet.
We are currently working on CDN and storage and validator nodes. Should have a working system out in 3-4 Months with all node types. The idea is the more of these you run, the more SPK votes you will get. This means you are more likely to be a top 20 validator. That's where some decent rewards are. But ATM, the inflation of SPK is set super low so that not much is distributed.
The idea is to keep SPK inflation super low for now so that there is an initial distribution. Then when all the infrastructure is out and operating, the inflation of SPK will be ramped up to a Bitcoin-type inflation curve until it reaches its cap in a few decades from now.
This will mean that the early adopters of SPK and those who have worked hard to run nodes will be the first to vote on the top validators before the inflation starts properly in a few months.
Q5) All of these things are new to us. I suppose it will take some time before everyone understands it and can make good decisions.
We want a circulation of SPK there to allow the early adopters to vote for their validators once these node types are out. Once anyone can run all infrastructure types, at that point, the initial validators will be elected into position with DPoS SPK token community votes. Then we plan to run a fork to ramp up the inflation of SPK to normal levels.
It's difficult to do as it's all is in flux, and this early, low SPK inflation phase is temporary. But the path forward is clear.
About the SPK Network:
The SPK Network is a decentralized Web 3.0 protocol that rewards value creators and infrastructure providers appropriately and autonomously by distributing reward tokens so that every user, creator, and platform can earn rewards on a level playing field.
Check out the SPK Network Light Paper: @spknetwork/spk-network-light-paper
Our Website: https://spk.network/
Telegram Group: https://t.me/spknetwork
Discord Server: https://discord.gg/JbhQ7dREsP
Link Tree: https://linktr.ee/spknetwork