Rewards
The Slingshot ecosystem rewards all participants. Everyone who submits an idea, votes or helps develop games earns $SLING rewards.
The more $SLING a user has locked, and the longer they lock $SLING for, the more rewards they earn.
These rewards can be easily claimed from within the Slingshot dApp.
Reward earning actions
Users can earn rewards by:
Voting for games in the Slingshot showcase (learn more)
Submitting winning ideas in the Slingshot showcase (250,000 $SLING)
Contributing to Slingshot DAO
(There are often campaigns and quests run in Discord that also offer $SLING rewards for those who participate! Be sure to join the Discord server.)
Claiming Rewards
The most common reward is voting rewards. These can be claimed easily from within the Slingshot dApp.
Voting rewards are drip fed over 30 days following the end of the voting round. Check back in regularly to claim your rewards as they become available.
Rewards for submitting a winning idea in the Slingshot showcase are sent manually. Winning users will be contacted by members of Slingshot DAO.
The Technical Details
The most common rewards are voting rewards, these are users who have voted for a game idea within the Slingshot dApp each round.
Voting rewards are handled programmatically by the Reward Manager smart contract.
Voting Reward Calculation
Voting rewards are derived from the users share of the total deployed voting power within the respective round.
Total deployed voting power, in this case, means the total of voting power that was used to vote in the round.
For example, if the total voting power in the ecosystem was 10,000,000 but only 1,000,000 of voting power was used in the round, than the reward calculation would take 1,000,000 as the total deployed voting power.
A users share of the reward is then calculated by their percentage share of the total deployed voting power.
For example, if a user has 10,000 voting power, and the total deployed voting power was 1,000,000, then the user has 1% of the total deployed voting power, and would receive 1% of the available rewards for that round.
In formula this can be written as:
(user's voting power ÷ total deployed voting power) x reward tokens available = user's voting reward
Reward Tokens Available
The calculation for the number of reward tokens available in each round can become complicated over time but there are a few constants.
Each round has a baseline minimum of $SLING rewards available, determined by the DAO governance.
At the time of writing this is 6,730,769.23 $SLING.
Therefore, at the start of each round, the Reward Manager is loaded with an additional 6,730,769.23 $SLING.
The complications are introduced in two ways:
The total rewards available in a round is based on the rounds participation rate.
Any rewards that are not used in a round rolls forward into future rounds.
Participation Rate
Participation rate is defined as the total deployed voting power vs the total voting power in a round.
For example, if the total voting power in the ecosystem was 10,000,000 but only 1,000,000 voting power was used to vote in a round, then the participation rate would be 10%.
In formula this can be written as:
total deployed voting power ÷ total voting power = participation rate
Total deployed voting power = The total amount of voting power that has voted in a given round.
Total voting power = The total amount of voting power available in the entire ecosystem, based on the total amount of $SLING locked in the Voting Escrow contract.
Rewards vs Participation rate
A unique and interesting aspect of the reward calculations is the asymmetric distribution of rewards relative to participation rate.
In short, the number of rewards distributed in a round increases, non-linearly, the higher the participation rate.
The higher the participation rate, the more rewards everyone gets.
This ensures that members of the DAO are incentivized to encourage as many others to vote as possible and incentivized to promote the DAO to as many others as possible.
Because the increase is non-linear, users do not suffer dilution and do not receive less reward as the number of voting users in the system increases.
This is an important detail and ensures the game theory for all voting actors in Slingshot DAO remains well aligned.
These calculations are done by the Reward Manager contract at the conclusion of a voting round.
Reward Rollover
It is unlikely for participation rates to always be high enough to consume 100% of the available rewards in a round.
This is accounted for by rolling any unused reward allocation from a round into future rounds.
This simultaneously gives good incentive for users to keep returning for future rounds (and earn increased rewards) and ensures that loyal users are not punished for the low participation rate of others (as their earning potential continues to grow in future rounds even if participation remains low).
Reward Vesting
Voting rewards are allocated to users by the Reward Manager contract at the end of a round.
A users voting rewards become available to claim, linearly, over the course of 30 days following the end of the round.
Claiming can be done via the Slingshot dApp.
At a technical level, the 30 day reward vesting is handled by the Reward Vesting Manager contract.
Audits
Slingshots smart contracts have been audited, including the Reward Manager and Reward Vesting Manager contracts discussed above. You can read more about security audits here.
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