We are thrilled to announce the Ink Finance Stake Engine is live on Testnet, a transformative feature aiming to provide a stake-based governance mechanism. This will enable DAOs to implement the “stake to govern” governance policy, in which the DAO token holders must “have skin in the game” when they participate in the DAOs’ voting. It is an important mechanism for DAOs to incentivize governance engagement. It is also an effective guard against Sybil attack — someone using the same tokens multiple times from different wallets.

Marking a significant milestone in our product development, the introduction of the Stake Engine completes the governance framework offered by Ink Finance: the no-token mode, the token staking mode, and the hybrid mode. This is a true SaaS grade feature that gives DAO creators the flexibility that best suits their project’s needs at varying stages.

Now, let’s turn our attention to the intricacies of a token staking DAO.

To establish a token staking DAO, creators can create a new staking emission pool or share an existing one. For the newly created, they can specify the number of tokens as the total reward emission, as well as their corresponding release timeframe. Our smart contract handles the task of distributing rewards to participants. It does this based on the amount staked and other defined staking parameters, executing these distributions daily.

Creators of a DAO must specify the Pledge requirements for nominated committee managers. Only members fulfilling these requirements are eligible for nomination to the Committee Managers roles, and the DAO can only nominate those who satisfy the staking prerequisites. Upon meeting these requirements, the voters can be ensured that the delegated Managers have significant stake to perform their designated tasks.

Token holders who partake in staking stand to gain rewards, claimable at their convenience, directly to their accounts. Beyond this, staking also grants voting rights, with voting power directly proportional to the quantity staked. Notably, when stakers cast their votes in proposals, they pledge certain staked tokens to be locked in place, remaining so until the conclusion of the proposal, thus ensuring a fair and committed voting process. During this period, the pledged tokens cannot be unstaked.

Token holders can qualify a nomination for Committee Manager roles by staking a predefined quantity of tokens, at the DAO’s creation time, which will be permanently locked. Upon the approval of the committee set-up proposal, the smart contract ensures a permanent lock on the staked tokens, while earning the Committee Managers emission rewards. However, in scenarios where the committee set-up proposal does not pass voting, or that the stakers later are removed from the committee duty, their Manager Pledge can be unlocked, allowing them to unstake at their discretion.

• Shareholder-like responsibility: Staking requires participants in governance to lock a certain quantity of tokens as proof of ownership, which is both an economic commitment representing responsibility and a way of strengthening the DAO’s defense against Sybil attack and other malicious activities.

• Promoting Token Holding and Long-Term Investments: Through staking, token holders can lock their tokens in smart contracts to participate in their DAO’s consensus building. In return, holders have the opportunity to receive rewards. This incentive mechanism encourages long-term token holding, reduces short-term speculative behavior, and establishes a stable support base for the project.

• Building a Loyal Community: Staking encourages active participation and contributions from token holders, fostering the formation and development of a community. Holders establish closer connections with the project by participating in staking, enhancing community cohesion and shared interests, and supporting the project’s long-term development.

Ink Finance, as a web3 financial SAAS, pursues the principles of transparency, flexibility, rigor, competence, and credit. Governance and management are what makes the pursuit possible. The launch of Stake Engine is a significant update to our product.

About Ink Finance Ink Finance is an on-demand financial management SaaS, enabling on-chain organizations to build effective operation structure and perform best-practice financial management. Motto: Finance is built on credit, and credit comes from competence.

Learn more about Ink Finance and what we’re building: Telegram | Announcement | Discord | Twitter |Website| Medium | Youtube | Linkedin | Mirror | CMC

We are thrilled to announce the Ink Finance Stake Engine is live on Testnet, a transformative feature aiming to provide a stake-based governance mechanism. This will enable DAOs to implement the “stake to govern” governance policy, in which the DAO token holders must “have skin in the game” when they participate in the DAOs’ voting. It is an important mechanism for DAOs to incentivize governance engagement. It is also an effective guard against Sybil attack — someone using the same tokens multiple times from different wallets.

Marking a significant milestone in our product development, the introduction of the Stake Engine completes the governance framework offered by Ink Finance: the no-token mode, the token staking mode, and the hybrid mode. This is a true SaaS grade feature that gives DAO creators the flexibility that best suits their project’s needs at varying stages.

Now, let’s turn our attention to the intricacies of a token staking DAO.

To establish a token staking DAO, creators can create a new staking emission pool or share an existing one. For the newly created, they can specify the number of tokens as the total reward emission, as well as their corresponding release timeframe. Our smart contract handles the task of distributing rewards to participants. It does this based on the amount staked and other defined staking parameters, executing these distributions daily.

Creators of a DAO must specify the Pledge requirements for nominated committee managers. Only members fulfilling these requirements are eligible for nomination to the Committee Managers roles, and the DAO can only nominate those who satisfy the staking prerequisites. Upon meeting these requirements, the voters can be ensured that the delegated Managers have significant stake to perform their designated tasks.

Token holders who partake in staking stand to gain rewards, claimable at their convenience, directly to their accounts. Beyond this, staking also grants voting rights, with voting power directly proportional to the quantity staked. Notably, when stakers cast their votes in proposals, they pledge certain staked tokens to be locked in place, remaining so until the conclusion of the proposal, thus ensuring a fair and committed voting process. During this period, the pledged tokens cannot be unstaked.

Token holders can qualify a nomination for Committee Manager roles by staking a predefined quantity of tokens, at the DAO’s creation time, which will be permanently locked. Upon the approval of the committee set-up proposal, the smart contract ensures a permanent lock on the staked tokens, while earning the Committee Managers emission rewards. However, in scenarios where the committee set-up proposal does not pass voting, or that the stakers later are removed from the committee duty, their Manager Pledge can be unlocked, allowing them to unstake at their discretion.

• Shareholder-like responsibility: Staking requires participants in governance to lock a certain quantity of tokens as proof of ownership, which is both an economic commitment representing responsibility and a way of strengthening the DAO’s defense against Sybil attack and other malicious activities.

• Promoting Token Holding and Long-Term Investments: Through staking, token holders can lock their tokens in smart contracts to participate in their DAO’s consensus building. In return, holders have the opportunity to receive rewards. This incentive mechanism encourages long-term token holding, reduces short-term speculative behavior, and establishes a stable support base for the project.

• Building a Loyal Community: Staking encourages active participation and contributions from token holders, fostering the formation and development of a community. Holders establish closer connections with the project by participating in staking, enhancing community cohesion and shared interests, and supporting the project’s long-term development.

Ink Finance, as a web3 financial SAAS, pursues the principles of transparency, flexibility, rigor, competence, and credit. Governance and management are what makes the pursuit possible. The launch of Stake Engine is a significant update to our product.

About Ink Finance Ink Finance is an on-demand financial management SaaS, enabling on-chain organizations to build effective operation structure and perform best-practice financial management. Motto: Finance is built on credit, and credit comes from competence.

Learn more about Ink Finance and what we’re building: Telegram | Announcement | Discord | Twitter |Website| Medium | Youtube | Linkedin | Mirror | CMC