I wrote the above in a response to HIP-5 and would like to re-raise the topic in its own thread to see what feedback is received. I think having a minimum excludes the smallest of investors/stakers and therefore in a way discriminates against them for not having “enough” funds. If we are truly touting “ONE for ALL”, then I would like to see the compound staking be included in this ideology.
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Hi TriTDX,
I am not sure if I am right here but this is how I see this. Someone correct me please.
The total amount of rewarded ONE a year is capped at 440mill. This 440mill ONE are distributed among delegators (minus validators fee) depending on how much ONE they are staking. The APY tends to be between 9-11%.
The total amount of 440mill can’t be exceeded so the compounding wouldn’t make much sense since the speed of APY can go higher given that max of total reward at 440mill.
I am not sure if even a faster compounding wouldn’t benefit more the bigger the delegator’s stake is, making it even worse for smaller delegators.
Someone can correct me here or add something to this 
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Thank you for the reply. I’m sorry to confuse you with my previous post. I am not looking for a automated compound staking feature. I’m not looking to change the current structure for staking, I’m simply saying get rid of the minimum requirement to stake to allow all delegators/stakers an opportunity to compound any rewards they currently have earned at whatever rate they choose by not having a minimum commitment amount. Or as an alternative, if they have already staked the minimum amount, allow them to simply add their rewards to their existing stack. As the fiat price of ONE goes up, as does the initial investment for any new people. If we are trying to make this about “ALL” then we need to allow for it to grow for all. Yes, you are correct, the rewards are capped, the pool is limited, but it is also what motivates investors to help secure the network. We need to look at this from the stand point if ONE reaches $1.00 or even 5, 10 or 15. Will someone be able to come up with that initial investment amount to participate in rewards or are we simply telling future small investors, too bad, the system was meant only for the rich. Just trying to be considerate to the small investor/delegator and allow them to compound their rewards within staking reward system harmony offers. Hope that makes sense.
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I advocated for 10 or LESS ONE the first time round and I 100% support this.
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It is also worth noting that the original staking price for 1k ONE was $3
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I get your point now and you are right.
Bigger wallets can compound a few times a day every time they got 100 ONE rewarded. Smaller wallets have to wait days, weeks or months to be able to compound.
I agree too with a reduction of the compounding amount.
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I think the only restriction should be how many times in a day you can compound… people could write a script to compound to often that could spam the network. once every X hours or whatever should prevent this…
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