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How to earn yield with Spark (Flare Network)?


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14 minutes ago, Ripley said:

You can divide your FLR and make money from multiple streams -

a. Staking with FTSO

b. Staking with Agents on Flare

c. Earning yield on Flare Finance through Flare Farm with either FLR, or YFLR, or both

d. Staking in the FLR-YFLR pair liquidity pool with FlareX - which will give you fees and liquidity tokens. Those tokens can be put on YieldFlare for additional yield.

e. Provide liquidity for Flare Mutual (loans, insurance etc)

Crypto in one stream cannot be used by another stream, though there may be an exception for FTSO stakes. I’m not sure of that and I haven’t had a chance to research it yet.

Important Note: Flare incentivises participation in the network. There is an inherent inflation of about 10% to begin with, and you’re going to be impacted if you don’t participate in the network in one way or another.

Thanks – appreciate this. This is more or less the list I had written down after taking notes from various videos.

Do we know the approximate yields from each stream yet? I mean even just ballpark, relatively speaking? Because surely there'll be yield "arbitrage" of sorts from one source to another, if one yield goes up/down relative to another and there's no friction to move between them.

Makes sense that FTSO is unique, because you don't want to lose network participation by tokens fleeing to defi or loans or whatever pays best. 

So I'm *guessing* there'll be a minimum of TWO streams: one always "interoperable" with another, that being the FTSO staking/voting mechanism. 

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Not convinced about all this "utility" hype yet. Sounds like it's just a much better defi platform for trading between, well, useless coins. I guess it's a step forward technologically, and sure in a

These infographics show high-level overview of the Spark ecosystem (Flare Network). F-Assets agents Flare Time Series Oracle (FTSO) Data providers dApps (Flare Finance)

You misunderstood me. You are not relinquishing ownership of anything. XRP is the same as FXRP. Think of FXRP as a stable coin pegged to XRP. 1 FXRP is always 1 XRP. What Flare does is enable sma

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Just now, thinlyspread said:

So I'm *guessing* there'll be a minimum of TWO streams: one always "interoperable" with another, that being the FTSO staking/voting mechanism. 

Three actually, given that YFLR will also be a "separate" stream... no?!  :JC_thinking:

Then if one adds to that, XRP or another f-asset, it gets pretty interesting. Let alone capital appreciation. So, I remain cautiously optimistic. 

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6 minutes ago, thinlyspread said:

Three actually, given that YFLR will also be a "separate" stream... no?!  :JC_thinking:

Then if one adds to that, XRP or another f-asset, it gets pretty interesting. Let alone capital appreciation. So, I remain cautiously optimistic. 

Yield will be market driven. I don’t know more details than that. With Flare Finance, there is a public beta and competition starting Feb 25. I’d recommend checking that out. 

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According to this graphic (from Mickey), FTSO "voting" doesn't necessarily grant rewards. So for the average person, who isn't themself an oracle provider (which I am guessing takes a lot of technical skill or full-time dedication like setting up an XRPL validator) they can't just delegate like in Tezos and earn for that? But the FTSO providers do? 

It's just another confusing graphic to someone like me, and not helpful – on the one hand it clearly states "does NOT earn rewards" and yet on the other it shows an arrow labelled "compensation for FTSO vote"... make sense?!

EupFTuaWQAIGieC.thumb.jpeg.7162c3814d97c45eade1bee92dbe2c08.jpeg

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Just now, thinlyspread said:

According to this graphic (from Mickey), FTSO "voting" doesn't necessarily grant rewards. So for the average person, who isn't themself an oracle provider (which I am guessing takes a lot of technical skill or full-time dedication like setting up an XRPL validator) they can't just delegate like in Tezos and earn for that? But the FTSO providers do? 

It's just another confusing graphic to someone like me, and not helpful – on the one hand it clearly states "does NOT earn rewards" and yet on the other it shows an arrow labelled "compensation for FTSO vote"... make sense?!

EupFTuaWQAIGieC.thumb.jpeg.7162c3814d97c45eade1bee92dbe2c08.jpeg

Voting gives control over the blockchain. Some would say that’s more valuable :) but to each his/her own.

FTSOs may compensate you if you delegate your votes to them. FLR doesn’t leave your wallet and your funds are safe at all times. FTSO is essentially chainlink without the need for chainlink that Ethereum does because Flare is awesome like that :)

You can also stake that same FLR with Agents to mine F-assets. Some details here - https://www.ftso.eu

 

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In short, is not clear yet. You can use FTSO vote and governance vote without locking up your FLR. But if, for example, you give your FLR to an agent to earn a cut from minting coins, do you still get the FTSO vote on that?

Apparently you'll be able to put your F-assets towards the FTSO voting, but that doesn't guarantee you a reward - my guess is individual data providers will offer their own rates. But is that transferable like the FLR vote? My suspicion is no. But will really be happening is that you'll be turning over your f-assets to data providers so they can convert them back into FLR and use the votes from that. I have no evidence for this, is just one way I can picture it working.

And if you put your F-assets into a Flare Finance yield farm, do you still get the reward from the rewards pool? My guess is no, it's not in your wallet.

I think we have to just wait and see. I assume they'll lay this stuff out in detail before launch.

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Technically, delegation of votes with FTSO still lets you use them for other purposes because those smart contracts or agents can redistribute rewards from FTSOs. Flare encourages this model and I think eventually this is something everyone will support.

 

However, if you put your FLR in Flare Finance, it will get locked in their smart contracts, at least initially, in a way that you cannot delegate and still get rewards. In theory it should be possible to support redistribution of FTSO from the Flare Farm pools, but I don’t see how it can be done with Flare X. 

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I figure there will be other Oracles/data feeds/signal providers which may also offer some reward system for either posting collateral or delegating Governance votes.

Take life insurance, I'd think the federal government has the legal data feed on death certificates, so you could easily make a parametric life insurance policy via smart contract. It just has to be "properly" collateralized. Whatever is acceptable as "properly" would depend on what the user's wanted.

There will also be multiple types of data points for an FTSO to serve up between the two networks. Basically everything about a wallet, like it's message key, and other attributes. 

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6 hours ago, thinlyspread said:

I tell you what I'd personally like to see... and that's non-crypto assets on Flare. (Enough of the Dogecoins for now!) 

I don't mind whether that's equities & securities, indexes, commodities, options, bonds, whatever. Something from the "real world" so to speak. 

And not bloody NFTs either! Just the latest fad IMO. :D 

I think trading F-securities would be illegal, but if the people developing the smart contacts are outside the US, who can stop them?

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6 minutes ago, brianwalden said:

I think trading F-securities would be illegal, but if the people developing the smart contacts are outside the US, who can stop them?

Wouldn't that be the same as those fractional share services? If never use one, but seems like the same concept, except that on Flare Network the "shares" could also be backed by FLR. So maybe that would be better, idk.

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3 minutes ago, KarmaCoverage said:

Wouldn't that be the same as those fractional share services? If never use one, but seems like the same concept, except that on Flare Network the "shares" could also be backed by FLR. So maybe that would be better, idk.

I think that's what makes it illegal. You're not trading actual shares, they're just backed by FLR. I think one of the things the SEC was formed to solve was that there would be these back-alley exchanges that were essentially naked. They would just get the price feeds from Wall Street and it was basically just gambling - no one had any actual shares. If someone was a registered broker and actually had the shares, then maybe they could use Flare to let their clients trade shares. I am not a lawyer, I probably have no idea what I'm taking about.

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We might be talking purely synthetic derivatives if so, powered by oracle and overcollateralized by Spark.

Think... APPLX, TSLAX, QQQX, AUX, and so on. Hearkening back to my x-Assets thread (which was originally based on XRPL stablecoins as per the David Schwartz method (now more likely done via Flare and ported back onto XRPL).

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2 hours ago, brianwalden said:

You're not trading actual shares, they're just backed by FLR.

If it's done like FXRP, then you have actual XRP backing FXRP 1:1 + 2.5x the value of XRP in FLR (unless governance voting changes the 2.5x number).

I'd think someone like a Fidelity could do fractional shares, almost like the original Gateway role Commercial Banks were supposed to play originally. 

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15 minutes ago, KarmaCoverage said:

If it's done like FXRP, then you have actual XRP backing FXRP 1:1 + 2.5x the value of XRP in FLR (unless governance voting changes the 2.5x number).

I'd think someone like a Fidelity could do fractional shares, almost like the original Gateway role Commercial Banks were supposed to play originally. 

I don't think that's how it's going to work. If it was backed one to one with the real asset, they wouldn't need the 2.5x reserve to back it. Instead they use the 2.5x backing to make the F-asset backed entirely in-ledger. As soon as the F-asset is minted and sent to the recipient, the agent will be free to do what he wants with the actual asset. He just has to keep enough on hand for the people who are going the other way and redeeming their F-assets for the actual thing 

Once we have the ability to store secret keys inside smart contacts, we won't need this system. You'll just send the XRP to the smart contract's wallet on the XRPL and you'll get the same amount of FXRP minus the transaction fee from the smart contract's wallet on Flare (and vice versa). The amount of FXRP will never be more than the amount in the actual XRP wallet. But this 2.5x reserve system is the workaround for having to back the assets entirely in ledger rather than across the two ledgers.

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