Honest Income for Delegators
Honest Incentive for Validators
Honest to Harmony’s Mission
Roadmap
Phase1 - Validator Contract Factory
Individualized Smart Contracts allow delegators to perform staking actions Delegate, Undelegate and Claim Rewards directly with validator. Support validators with contract setup and web3 integrations.
Phase2 - Diversified Staking Allocations
Smart Contracts promoting diversified staking allocations that advance the stability, decentralization and mission of Harmony. DAO will determine metrics for allocations across participating validators.
Phase3 - hONEst HRC20 Staking Derivative
Non-Custodial DAO managed Smart Contract that handles Delegating, Undelegating and Reinvesting Rewards. Allows delegators the ability to diversify their staking, compound their rewards, support Harmony’s mission and mint hONEst the HRC20 derivative.
Current Status
This is a continuation of an already approved grant based on native token transfer mechanisms and is being expanded into staking. Milestone 2 is the creation of a DAO to advance the project and the $10k award will go directly to support Phase1. Seeking members from the established Harmony DAOs to fill 6 seats and two from the Harmony community.
Staking smart contracts are currently undergoing testing on modified local node and will be initialized on testnet once updates are applied.
@dpagan-harmony this is an extension of my original proposal [Bounce - Retrievable ONE Transfers] to include staking for the smart contract wallet being developed for the Launch Grant. This will be merged into that post but thought it would be useful to give it a different title, to gather feedback, as I build the DAO team for milestone 2.
In running for VDAO last election one of the topics I focused on was the upcoming integration of smart contract staking. One solution to combat the obstacles we face onboarding new validators and making EPos work smoothly to reach the goal of a large diverse set of validators is allowing delegators an easy and trusted way to diversify their staking portfolio. If done correctly this can reduce the risk of slashing and offset the loss of APY in delegating to unelected validators through a coordinated effort that pushes new validators into election quickly capturing the higher returns.
Currently tranquil finance has about 120m ONE locked into a custodial smart contract to provide staking derivatives. This goes to only a handful of whitelisted validators and selection is based on metrics including APY and max fees that might not be supportive of growing the validator ecosystem. Other competitors entering the space will also be looking for the highest, safest return on their investment compounding the issues of larger validators with many keys taking the lions share.
The proposal here looks to build, in phases, the onramp to a staking derivative hONEst that has at its core the mission to grow and diversify the validator ecosystem. Staking was the missing piece in my original plan to create a smart contract wallet that would attract enough users to hit the 4th and 5th milestone in the launch grant through innovative security and ease of use features.
hONEst staking derivatives has enough behind it to be a proposal on its own but figured it worked in harmony with my launch and already had funding allocated to speed up implementation. Hopefully hONEst can be the community driven supply side dynamic needed to strengthen Harmony and overcome some of the things we are currently working through with EPos.
Should have the smart contracts for testing on GitHub shortly to review, just waiting for the testnet to be upgraded and implementations to be finalized.
Thanks for the detailed reply @kenny. So just to be certain I’m on the same page, this is not a request for additional funding and should not be considered as new proposal for a launch grant, correct?
Staking transactions via smart contracts are working on testnet. First delegate and undelegate transactions appeared to have worked correctly to my testnet validator. Delegated 100 then undelegated 10 using metamask. Transaction ID
