I recently put together a tiered staking calculator and posted it in the Nash reddit community (unofficial):
Here it is [Google Sheets] (it will prompt you to create a copy – this is so you’ll have a sheet separate from what other people are editing).
I thought people here might find it interesting to play around with, as the idea has been mentioned here before in older posts.
Tiered staking is a way of ensuring almost 5% of your total NEX stash is liquid and available in your wallet every single month for four years. This calculator is only meant to illustrate how you’d do this, and what returns may look like.
This calculator operates on huge assumptions:
Revenue stays the same over the entire four year period – this is impossible, but for simplicity’s sake the calculator doesn’t calculate anything other than what you enter.
There is no maximum amount of stakes permitted on the platform per user (this method requires 24 separate stakes.)
Probably a handful of other things I’m not considering
The idea isn’t for this table to paint an accurate picture of potential profits, it’s simply to showcase how the tiered staking method works. Also, in using this strategy, you are losing a small amount of profit on the first 24 months of staking. Since each initial stake is anywhere from 1 month to 24 months long, you aren’t receiving the full 75% stake rate should you decide to do a full 2 year stake on day 1. That being said, after the first 24 months of staking, you will transition into receiving profit from 24 separate stakes at the 75% rate every single month. I hope that makes sense – I’m terrible at writing these things out, lol.
Honestly I can’t think of a better staking strategy than this in the long term. After 2 years this strategy is super useful. The only issue would be if you do decide to sell a month it will upset the continuous staking rhythm… but thats fixable.
Good point. The way I picture it is that revenue begins at $0 on day 1 of your stake. It grows until your stake is paid out (after a month, or a specific day of your choosing). When the stake is paid out, revenue “resets” back to $0 and begins growing again until your next stake payout.
This is why a static value for revenue doesn’t really make sense, unless Nash is consistently making around that much each month. There’s no variance – it doesn’t account for bull/bear markets, events, future Nash updates, etc.
Interesting strategy - thanks for sharing. Like you say, it is a bit of work… My gut feeling is that initial revenues will be relatively small, and token price volatility will be high. For that reason I am happy to sit out staking during month 1 until some numbers are known…
Yes, as we communicated the team expectation of volume for first three months is to close the period at about ~100MM/mo (becoming a top 100 exchange and best performing non-custodial platform). That is uncertain, and we could be both positively or negatively surprised at the end of first operating quarter. Our listings will be limited and we start with less users than established projects, our hypothesis is that only after our 2nd gen key-management system and Bitcoin trading support that we will see an accelerated increase in active users.
he said on this forum before that they will be adding trading pairs in a linear fashion with them doubling each month. so 2 month 1, 4 in month 2 , 8 in month 3 , 16 in month 4 and so on.
Very interesting strategy. However I do not see how much dividends I will get in total in % compared to 75% for 2 year staking my whole NEX bag. I seem to remember that dividing your Nex holdings into 24 stakes should lead to around 65%, but I can not find the calculation, it was probably only on Twitter. What about dividing it just into 12 stakes (2,4,6 months etc), what percentage would this strategy create?
OK, so I tried to calculate it on my own, based on example from your calculator (5136 Nex and Nash revenue 1 mil. ). If investor in this situation staked all his Nex for 2 years, he would have received 1848,96 (77,04 *24) , which would represent 75 %. If investor in this situation created 24 stakes (staked for 1,2,3, 4 etc months) and then restaking for 24 months, he would have received 1634,96 , which would represent around 66,3%. @pplvee is this calculation correct? Does tiered staking calculator lead to 66,3%? What about tiered calculator with only 12 stakes (2,4,6 etc). What % it would lead to?
Hello @dunco , in my personal case, I do not do the staking for generating more monthly dividends, because I am aware that there will be less profits compared to what it did for 24 months from the beginning, this strategy is designed to have the possibility of generating liquidity every month in case of a need for investment, emergency etc. : nash_n:
those who do staking for 24 months should wait that number of months without the possibility of withdrawing anything in any situation where they need money, but if that person does not need to use those funds it is much better, even so I prefer to divide everything into 24 stakes and Although I earn less dividend I have an emergency door every month. I hope I don’t need it but at least I know I have that way out. :
My theorie is if you create 24 packages and stake them all in month one (23Aug) following the strategy you stake pack 1 1mnd, pack 2 2mnd pack 3 3mnd …pack 24 24 mnd ect you will have 12 packs less then 50% and 12 packs more then 50% so the first month you will have an average of ~50% dividends since every month one pack gets free you then every month stake that pack for 24mnd over and over again, this means you will get the choice of doing whatever with one pack every month, assuming you stake each pack every month 24mnd over and over again you can do this forever…
so the first 2years the dividend grows % wise every month until you reach the pack 24 from then on you have everything on 75% but still get one pack every month to decide what you do.
This system also makes sense because in the beginning the volume will be low and when the volume could start taking off you have more packs at 24mnd (75%) then when you started this system.
I will start this system asap for like 80% of my $nex tokens and keep 20% awaiting the markets to evolve.
Thanks for answer. I am also thinking about this strategy. However in order to decide I need to have same numbers regarding dividends. How much dividends am I losing due to this strategy? Even using this strategy I do not expect to sell anything in near future, but just having opportunity is great advantage.
I think I’ll get 25% for 12 months (start 3 september) and 75% for 24 months. the 25% are then kept for two years and tax free for me when selling. With the 25% divested, I got my investment back at best. the rest will be held for 5-10 years. if i make 24 stakes my tax advisor kills me and i do not have much of it in the first year, because i have to pay tax on the sale. All dividends must always be taxed
!