EOS Network Launches $250M Staking Rewards Program

• EOS Network launches $250M staking rewards program.

• The yearly yield rate of return (APY) that comes with this program is more than 60% for the first year.

The EOS Network has recently announced the launch of a substantial staking rewards program worth $250 million as part of its updated tokenomics plan. The program will distribute 85,600 EOS per day to the stakers, which will be more than 31 million EOS per year. This new staking program has been developed in order to offer long-term incentives for the growth of the given ecosystem’s value. 

It's a New Era For EOS Staking.

250,000,000+ $EOS allocated.
Higher APR.
Time Sensitive Rewards.

Coming Soon. https://t.co/k8gTI8b80j

— EOS Network Foundation (@EOSNetworkFDN) July 8, 2024

The updated staking rewards schedule is designed to significantly benefit early participants significantly. The yearly yield rate of return (APY) that comes with this program is more than 60% for the first year. Furthermore, this high APY is meant to incentivize quick involvement and foster the growth of the network from the moment it launches.

Extended Lock-up Period Promotes Network Stability

Additionally, the new program has increased the lock-up period for staking from four days to twenty-one days. This change is proposed to make the network more stable as it discourages short term participation from the participants.  The extended lock-up period aligns with the network’s objective of creating a healthier and safer staking ecosystem.

The new program will offer enhanced rewards to EOS Block Producers (BPs). In addition to block reward income, BPs will now also receive network fees. Implementing network fees for BPs is a major change to the network’s economic model. This network fee generates more revenue and is a sustainable income source for those who manage the network.

Sustainable Rewards Strategy Fosters Long-term Ecosystem Growth

The revamped EOS staking rewards program is not just about immediate incentives. It is part of a larger plan to safeguard the future of the EOS ecosystem and promote its sustainable development. Additionally, the high incentives for the early stakeholders are intended to encourage only serious stakeholders with the vision to grow the network and contribute towards it.

According to the announcement, participants in the program will receive payouts regularly, and the longer-term lockup time provides a more stable staking environment. This change is likely to draw more institutional investors who are keen on the long-term prospect of the EOS network than the price pumpers. 

In a recent interview with dl News, CEO Yves La Rose stated that EOS has recently burnt about 80% of its tokens, and this changes the entire economy. The decision cuts down the maximum token supply from 10 billion to 2. 1 billion tokens, which is a significant change for the blockchain platform.

He stated that the members of the community are more involved, asking questions and interacting with the new tokenomics model. 

“ Members are active, asking questions, and engaging because EOS has entered a new era. With RAM market support and very generous EOS staking rewards about to go live, it’s a good time to be an EOS token holder.”

As mentioned in our previous news brief, the EOS blockchain is expected to experience significant growth, as indicated by recent Messari research.