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Pocket Network opens a new mining mode

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Pocket Network is essentially a general protocol of blockchain, which is responsible for the whole-node incentive of each Network and the decentralization of dApp infrastructure.

Pocket Network is proud to announce the upcoming launch of WPOKT, a fully secured ERC-20 version of the POKT token, which is expected to launch in the second quarter of this year. In addition, the launch of WPOKT will lead to a new data-mining program that will change the way miners think about revenue.

Oh? Don't you know what POKT is?

If you don't read this article you won't know what POKT is. Pocket Network is essentially a general protocol of blockchain, which is responsible for the whole-node incentive of each Network and the decentralization of dApp infrastructure.

During the whole life cycle of the pledged POKT token, the pledger can enjoy the information relay resources of the POKT network. Currently, the message relay rate is 1 POKT for 1.67 message relays per segment (each segment lasts for 6 blocks and approximately 1 hour).

As the infrastructure demand for a particular application or protocol increases, so does the amount of POKT tokens pledged. If an application using the Pocket network fails, the POKT can be withdrawn, allowing the developer to recoup any sunk costs.

This innovative token economy model can reduce infrastructure usage costs by a factor of 10 and eliminate the single point of failure risk associated with centralized infrastructure such as Infura and AWS.

Why encapsulate POKT?

While we see the future of finance as multi-chained, and we are actively positioning ourselves as the preferred decentralized infrastructure protocol, the current financial ecosystem rests on Ethereum.

Now Ethereum TVL data is $41.5 billion (according to Defi Pulse data), with daily settlement of around $25 billion, roughly double that of Bitcoin.

We believe that the vast majority of liquidity and projects will remain on Ethereum for the foreseeable future, so bridging POKT and WPOKT is the obvious next step.

How do I get WPOKT?

Initially, token allocation will be done via the Balancer Smart Pool (WPOkt/DAI), as this will allow higher granularity to ensure fairness in token allocation.

Specifically, we will use the smart pool as an LBP orLiquidity Bootstrapping Pool. In fact, Pocket will actively adjust the ratio between Wpokt and DAI over time.

Initially, you will see WPOKT weighted in its favor, but as the sales period ends, the curve reverses.

The theoretical price action. Actual figures are to be determined.

The purpose of this is to maintain price stability and provide price protection throughout the period of token allocation.

Where can I get Wpokt after the initial distribution?

For users who fail to acquire tokens during the initial offering, the remaining tokens from the initial offering (at which point the DAI portion will be large) will be used as initial liquidity on Sushiswap.

The pledge wPOKT

Unlike the current model of pledging, in which users are incentivated to do liquidity through the project's native token (which is also an initial allocation), pledging Wpokt users will generate revenue through data mining.

Working principle:

1. Users can get WPOKT directly by participating in the initial Balancer LBP and converting POKT to WPOKT at a 1:1 ratio or by purchasing through an AMM such as Sushiswap.

2. WPOKT is put in the "Pledge Mining", and the smart contract will make the pledged WPOKT get the benefit of the relay information.

3. The longer the pledge, the greater the reward. The pledge starts at 1x and increases linearly to 3x if you pledge for 60 days.

The pledge to dig

When mining starts, a single mining pool will be opened. All Wpokt pledged in this pool will be used for relays of Ethereum applications.

Mining users with high yield requirements can pledge WPOKT to the protocol that they believe will have the highest demand relays - note that the pledge yield is proportional to the amount of data relays the underlying application will receive.

This mechanism is why we call WPOKT the first-ever renewable finance project: growth leads to higher returns.