There have lately been some discussions about removing content rewards from base layer and moving it to L2.
There are a few problems with this:
- The obvious one being that we have no decentralized adopted layer 2. We have Hive Engine right now but that has its own problems.
- Where would the money come from? Would people even care?
Here are my thoughts:
I have completely stopped seeing Hive as a "content creator token". In this day and age to have a thriving creator space you need user adoption, which we don't have due to the lackluster UX and terrible sign up system, (hopefully lite accounts change that) then you get ads, and use that to pay creators.
The Hive reward pool, even if Hive did a 10x couldnt cover that.
Just for reference:
- Top youtuber earns 3 million USD a month from Youtube just from ads. (double it from other sources)
- No1 author on Hive earns 900 USD a month (out of that half is liquid)😅
That is 1/5th of top witness reward. 1/30th of the top curator rewards. 1/10th of a single DHF funded core developer payout.
1 Hive token would need to be worth more than 2000 USD and Hive have a market cap of trillions for the Top hive author to earn anything close to the top youtuber now. None of that will ever happen.
So lets put the base layer Hive creator ecosystem to rest. What we have is not even enough to reward a few contributors to the ecosystem let alone sustain a bunch of creators..
So RIP all that, lets be realistic and look at what we actually have here.
A very interesting take on a crypto faucet that exists to spread some Hive around to as many people as possible.
Not as much Hive as possible, but rather to as many people as possible. With the stabilizer, less than 1/3 of the reward pool goes to actual content creators and the Hive is fairly widely distributed, akin to a faucet.
Thats how I see it so I dont actually care if someone gets 11 cents for the picture of their meatball sandwich or 0.3 cents for their AI Poem.😅
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So... Would I be ok with moving content rewards to L2? Id say yes, but not yet.
We need the infrastructure, easy and quick signups, and a transition period with seed money for communities with solid ideas. We need to develop an idea of how to use that inflation taken from author rewards in a efficient manner.
The recent developments when it comes to smart contracts, Lite accounts and break away communities, give me faith that this might be a possibility in the near future.
The biggest initial obstacle is internal adoption. Will the Hive community accept the L2 tokens and give them a chance or will we have to cling to the base layer out of necessity?
How long do we intend to extend this type of base layer token distribution?
Could there be a hybrid system?
I am not sure anyone can give us all the answers now. What I am sure is that it needs to be attempted. Maybe it fails, maybe it works.
Cant know if it will stick until you give it a toss.