Hello everyone. I recently published a status report on Cent's liquidity pools. In this post, I will talk about the current situation in Cent's prize pool. I will also talk about the strategies we will implement in the reward pool in the coming period. In fact, we talked about the strategies that will be implemented starting from the second half of 2023. We have implemented many of the strategies mentioned. We will implement many of them during this period.
The prize pool generates 5 new Cent coins per minute. The generated tokens are distributed as 50% author/50% curation reward. If the author did not use Cent's frontend or Cent's community page for the content, @centtoken gets a deduction. (Since the deduction rate from author awards is constantly changing, I did not feel the need to mention it here.) Author and curator awards are paid seven days after the voting process. 50% of distributed author and curator rewards are automatically staked. If you initiate an unstake transaction, the tokens will be paid to you in liquid form in 4 installments within 28 days. If you cancel the cent delegation, your voting power will return to you after 7 days.
There are 22,124,000 Cent Tokens in circulation. About 10,035,000 of these tokens were burned. About 5,340,000 of the remaining tokens have been staked. About 4,350,000 of the tokens in circulation are in liquidity pools. The remaining tokens are in liquid wallets. Or a sell order may have been entered in the Cent market to be sold.
Let's talk about the measures to be taken in the coming period;
We have reactivated reward distribution in all liquidity pools since the beginning of December. We increased the reward rate distributed in liquidity pools as much as possible. Inflation in the reward pool has been offset particularly by the impact of liquidity pools. However, no price increase was observed except for small increases in the Cent price. This result indicates that author rewards and/or liquidity provider rewards are mostly sold. In order to see an increase in the price value of the Cent, the coin supply needs to be reduced slightly. And we need to put a lot of emphasis on token burns.
Token burning event announcements will be shared irregularly via the @centtoken account. Users will report the tokens they burn by making a post or comment. And they will be able to earn Hive, HBD or Hive-Engine tokens based on the burned token value.
A "Cent Power Up Day" will be announced very soon.
Manager accounts will burn almost all of their Cent earnings.
If you took a look at the Cent market, you will see that some of the purchasing transactions are made by the project's developer accounts. This is not something you will come across in over 90% of project tokens on Hive-engine. In the past months, we announced that we started investing and trading on Hive-engine using the @centtoken account. We reinvest some of the income generated. We continue to purchase CentG with some of it. However, most of the revenue is still used to buy back Cent. Likewise, I continue to purchase Cent from my personal account. For example; Yesterday I bought approximately 50,000 Cents for 173 Hive and staked it to @balina account. I will be delegating most of the tokens from my personal account to this account. The @balina account will burn all of the author rewards and some of the curation rewards. We expect similar practices from Cent curators. Vote in the comments below the posts made by @buildawhale account. By burning author rewards you reduce Cent inflation. You'll still win curator awards.
See you in new posts. Stay tuned.