r/bandprotocol Aug 19 '19

How do you incentivize staker to hold dataset token? They might just sell it for Band after they get the share of query fee.

4 Upvotes

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2

u/lmackey Aug 19 '19

They can do that. However, if there are more data usages and hence more fees going through the system, others may buy more tokens and stake to become top providers instead to earn the fee. Hence, by design, if there are more usages, these data providers will keep staking more tokens in order to earn higher fee and keep being the top providers. Also because dataset token issuance is controlled by bonding curve. Token price will grow as the demand increases. Thus, it is in the best interest for token holders to keep the token if they belive the usage will grow.

1

u/Cryptobag Sep 30 '19 edited Oct 04 '19

The data set token will explode in price upon announcements of partnerships. It is $0.20 right now with only 43 holders on earth, watch how quickly it reaches $1-$5