Is Staking Crypto on Artists and Collectors a Good Idea?

Staking crypto on artists and collectors can be a lucrative and innovative investment strategy. This form of staking allows individuals to earn passive income by locking up their crypto assets, supporting artists and collectors, and contributing to the growth of the art market. By staking crypto, investors can participate in various art projects, buy limited edition pieces, or support emerging artists. With the potential for high returns and the opportunity to diversify one’s investment portfolio, staking crypto on artists and collectors can indeed be a good idea.

Introducing Rare Protocol: Transforming NFT Curation and Discovery on the Web3 Platform

The SuperRare Labs team, known for their highly curated NFT art marketplace and esteemed collector base, has recently launched the Rare Protocol. This protocol, built on the Ethereum mainnet, aims to revolutionize the way NFTs are curated and discovered in the Web3 space.

What is Rare Protocol?

At its core, the Rare Protocol is an open curation protocol designed to establish a Web3 native creator economy and an on-chain social graph that promotes reputation and facilitates discovery. The protocol achieves this through a concept called “Curation Staking,” which is powered by two main components: Community Pools and Curated Lists.

By participating in the peer-to-peer system, users can stake their native RARE tokens on artists, curators, or collectors they believe deserve recognition. This stake grants them access to the respective Community Pool, where they can potentially earn rewards as the staked individual achieves success within the on-chain ecosystem. Additionally, the owner of the pool has the ability to engage with the stakers and set access for specific community benefits based on data like wallet addresses and staking ratings.

The protocol also facilitates the creation of “Curated Lists,” which serve as on-chain reflections of the artists a user has staked. These lists can be linked to other lists to discover and connect with similar tastes, creating a more organic and engaging discovery experience.

Why was Rare Protocol created?

Aside from the monetary incentives tied to staking, the Rare Protocol aims to address some fundamental challenges within the Web3 space. Traditional social platforms heavily rely on likes, comments, and shares for discovery, which can be a shallow and superficial approach. Rare Protocol intends to create a more natural and digitally native experience by guiding users through a logical and engaging game of following signals from their existing connections to discover new art, artists, and taste preferences.

Moreover, the protocol seeks to nurture a space that provides improved discoverability, security, and seller reputation. Through the social graph created by staking, users can have greater confidence in the authenticity and quality of the NFTs they encounter within the ecosystem.

Is it equitable?

One concern that arises is the potential for the rich to get richer, creating an exclusive environment in a space that is meant to be democratized. Fortunately, Rare Protocol mitigates this issue by structuring its rewards on a curve that values early contributions and early discovery. Stakers who support emerging or lesser-known artists have the opportunity to gain higher token yields compared to those who stake on already successful artists with densely populated community pools.

Looking ahead

As the Rare Protocol paves the way for decentralized curation, its mission is to revolutionize the economics of human creativity. The protocol believes that blockchain technology can remove wealth bottlenecks and allow capital to flow to where it is most deserving. To achieve this vision, the protocol encourages passionate individuals within the art and curation community to join their interconnected ecosystem of creativity and value.

One exciting aspect of the protocol’s future is the democratization of access for curators. Aspiring curators from remote areas can now participate in the art world by staking artists they believe in. If any of these artists go on to achieve success, the curator will be credited for their early support, building their reputation as a great curator.

While the Rare Protocol is still experimental, it offers engaged users the opportunity to express their unique taste, connect with like-minded individuals, and potentially earn rewards or recognition. This win-win scenario benefits creators, collectors, curators, and the entire Web3 space.

For those interested in diving deeper into the technical aspects of the protocol and how to start using it, the Rare Protocol’s developer documentation provides a comprehensive breakdown and step-by-step guide.

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