Waves Backed Stablecoin of Neutrino Launches Community Incentives of up to $12k p.a. to Help Decentralize USDN Reserves 15

Waves Backed Stablecoin of Neutrino Launches Community Incentives of up to $12k p.a. to Help Decentralize USDN Reserves

Summary:

  • The team at Neutrino (USDN) has announced an incentive plan of up to $12k per year for its community members to decentralize its Waves (WAVES) reserves.
  • Earlier this month, Neutrino (USDN) suffered a depegging to as low as $0.748 and is currently trading below the $1 mark.

The team behind the algorithmic stablecoin of Neutrino (USDN) has announced an incentive plan to reward its community members for decentralizing its WAVES reserves.

According to the team at Neutrino, USDN is currently backed by roughly 40 million WAVES which are leased to two generating nodes, with half of the generated WAVES leasing profit being sent as rewards to USDN stakers and the other 50% sent to the smart contract to increase the USDN reserves.

The team wants to improve and decentralize this process and is therefore looking for crypto enthusiasts and community members ‘who are willing to run their own nodes for the needs of Neutrino to improve the reliability of the system and make their own interest.’

Virtual Servers Cost $720 per Year, and Participants Could Earn $12k p.a.

Furthermore, the team at Neutrino has calculated that participants can earn up to $12k per year by using a regular virtual server to run a node. Their calculations on potential earnings are as follows.

At the moment of the writing this article WAVES price is $6.2, this means that a node generates about 114 * 365 * 6.20 = $257,982.99 total leasing reward per year.

The participants of our program will make 5% of the total leasing reward, this means that you can make 257,982.00 * 0.05 = $12,899.10 per year.

Virtual server costs about $60 per month or 12*60=$720 per year. So, your profit is $12,179.10.

The Process of Decentralizing Neutrino’s WAVES Reserves

To note is that this is the first phase of the decentralization efforts of the USDN WAVES reserves, and the Neutrino team has provided the general process below.

  • The addition of participants will be gradual and on a one-by-one basis.
  • Maximum participants cannot exceed 80.
  • To begin, each participating node will get 1 million WAVES in leasing, with this amount changing in the future with the possibility of additional participants.
  • Participants will be combined in groups of 10 addresses to simplify the management of the leased amounts.

Phase two of the program will provide the Neutrino community the chance to govern the decentralization process by means of voting.

Neutrino (USDN) had Depegged Alongside UST and USDT

Earlier this month, the stablecoin of Neutrino (USDN) also suffered a depegging incident at the height of the crypto market jitters brought about by UST’s collapse.

Consequently, USDN depegged to as low as $0.748, signifying a 25% from the $1 mark. At the time of writing, Neutrino (USDN) is trading at $0.9734, pointing to a significant recovery of the stablecoin as highlighted by the following chart courtesy of Coinmarketcap.

Waves Backed Stablecoin of Neutrino Launches Community Incentives of up to $12k p.a. to Help Decentralize USDN Reserves 16
USDN Depegging in May 2022. Source, Coinmarketcap.com.