Incentivizing stakeholders and token recipients to retain their token holdings is an ongoing challenge. However, Hadeswap, an NFT automated market maker on Solana presented a unique solution that we had not previously offered: Non-linear vesting contracts. The underlying concept is to promote long-term holding. The vesting period will be dynamically adjusted based on the user’s choice to either leave vested tokens untouched or withdraw them. This innovative vesting mechanism is designed to encourage users to retain their tokens within Streamflow vesting contracts.
How does non-linear vesting work?
We provide an easy-to-use script for creating Non-linear vesting contracts. The sender initiates a contract with an initial release rate, for example, 100 tokens per month, and a step-up or multiplier rate. The multiplier is percentage-based, for instance, if the release rate is 100 tokens per month, and the multiplier is 10%, the recipient will receive 110 tokens in the second month, and so on. However, if the recipient withdraws some tokens, our system will step down the release rate, without applying any multiplier.
In other words, holding tokens will increase the unlock rate every period, while withdrawing tokens will reduce the release rate proportional to the amount withdrawn.
We are still gathering feedback from other teams. For the moment any team can request to use this feature with Streamflow and we will gladly onboard them.
Streamflow is a pioneering token operations platform empowering organizations to streamline fund distribution with unparalleled efficiency. Through Streamflow, teams gain the ability to automate vesting schedules, create airdrops, and integrate our Software Developer Kit (SDK) for tailor-made solutions.
Hadeswap is an Automated Market Maker (AMM) NFT marketplace designed to improve NFT liquidity and the trading experience. With Hadeswap, users can trade and swap NFTs using liquidity pools, just like trading and swapping cryptocurrencies on Uniswap. One of the standout features of Hadeswap is the 0% platform fees from the start.