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$DEGEN Changes the Tipping Game

Ambassadors Edition #33

$DEGEN Changes the Tipping Game

Happy Monday!

Hey! It's Kyle Patrick. Join us as we unwrap the latest in the Farcaster and Base Ecosystem!

Jacek, the lead for $DEGEN, has announced a significant update to the $DEGEN tipping system, set to take effect in Season 5 starting June. Previously, from Seasons 1 to 4, users' tipping allowances on $DEGEN were directly tied to their engagement metrics, such as the number of likes and recasts they received. This system determined the amount of $DEGEN tokens users could distribute daily. However, starting in Season 5, the method for calculating these allowances will undergo a major transformation.

The new system will utilize exponential decay and social graph data provided by Open Rank to determine users' allowances. This approach is expected to create a more dynamic and fair distribution of $DEGEN tokens -- rewarding quality over quantity. Approximately $5 million $DEGEN tokens will continue to be distributed daily in the form of tipping allowances. However, the bulk of these allowances will be allocated to the top 500-1000 users on the platform, making it crucial for users to maintain a strong presence to stay within this top tier. The exact query for this can be found here. Rankings will be updated based on the social graph and follower connections rather than just likes on casts.

Another notable change in the new system is the removal of the minimum post requirement. Previously, users needed to make a certain number of posts to qualify for their tipping allowance. Now, the primary requirement is to have at least 10,000 $DEGEN tokens in their wallet. Additionally, users must tip at least five times within the last seven days to maintain their ranking. Failure to do so will result in a drop in their ranking, affecting their future allowances.

The algorithm update is scheduled to go live on Tuesday, May 28, 2024. As the $DEGEN ecosystem continues to evolve, these updates aim to enhance the user experience and ensure a more equitable distribution of $DEGEN tokens. Users are encouraged to stay active, engage with the community, and adapt to the new system to maximize their tipping potential in the upcoming season.

Oh and also, Jacek is testing something out. From the hints he poste, it might be related to showering people with $DEGEN. Check it out here and here.

Update: It's announced. You will be able to drop $DEGEN to users who reply to your cast. You just need to like their replies and they will be tipped. More here.

News around the Base Space

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Disclaimer: Nothing in this article should be considered as financial advice. The content we produce is purely for entertainment and information purposes only. Purchasing cryptocurrencies and NFTs can result in you losing all of your investment.

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