What it’s Like Owning a Pioneer NFT: Rewards, Locking Mechanisms & Community Ranking

Pioneer NFTs are now available for public sale, providing holders with the Iskra Ecosystem’s most valuable asset. But what does it mean to own a PNFT? 

The Pioneer NFT is an asset that allows its holders to receive unprecedented rewards within the Iskra ecosystem. As such, it also greatly influences many aspects of the platform. 

Node Operation Rewards

You must own a Pioneer NFT to participate in the Iskra platform as a node operator and receive PNFT rewards accordingly. Each Pioneer NFT is given a serial number in the order that it was purchased. 

In the first phase of platform operation, PNFT holders will receive rewards just by PNFT staking, without having to directly operate a node. Towards the end of 2023, when Iskra’s own blockchain mainnet is launched, PNFT staking will be terminated and node operations begin.

We will release details on node operations as we get closer to the operating phase, however it should be noted that there are different types of node operations available that require different hardware specifications and will receive corresponding rewards.

For example, the minimum tier of node operation can be operated with most basic laptop configuration, but this operation will also receive a lower tier of node operation rewards.  

When you stake a Pioneer NFT, you will receive ISK Token rewards from the moment you stake it.

  • A total of 400 million ISKs are given out as rewards over 10 years: 200 million ISKs in the first year, halved each year, distributing 100 million in the second year and 50 million in the third year, etc.
  • In the first year, 200 million ISKs will be distributed as soon as the public sale starts.  This translates to 6.341958 per second.
  • You can roughly calculate the ISK token rewards you can potentially receive every second by taking the number of Pioneer NFTs you own / Number of Pioneer NFTs sold x 6.341958.

Please note that ISK Tokens received as rewards are locked into a Smart Contract and unable to trade in the secondary market until certain conditions are met (see below).

Unlocking Pioneer NFT Rewards 

Since Pioneer NFTs grant an overwhelming ISK Token rewards of 40% of the total volume, releasing them in bulk to the market will pose an adverse effect to the Iskra ecosystem. Therefore, ISK Tokens distributed as Pioneer NFT rewards are given out in locked form and released in stages to the market according to the Unlock Mechanism.

A certain number of additional PNFTs must be sold after your purchase of a PNFT in order for rewards to be unlocked. This is calculated using a ‘Linear Reduction Model Formula’ below.  

All purchased Pioneer NFTs are given a serial number in the order that they were purchased. So for example #0001, #0002, #0003, etc. This means that a certain serial number must be sold in order for your rewards to be unlocked. The number of NFTs that need to be sold for an ‘unlock’ decreases as the number of PNFTs are sold. 

  • “Linear Reduction Model” formula 
    • id <= 29999*(last_id-5001)/24999 + 1
  • Applying this formula, the ISK rewards received for your PNFT will be unlocked as below:
    • The ISK reward for #1 PNFT will become unlocked when #5001 PNFT is sold (+5000)
    • The ISK reward for #4000 PNFT will become unlocked when #8334 PNFT is sold (+4334)
    • The ISK reward for #10,000 PNFT will become unlocked when #13334 PNFT is sold (+3334)
    • The ISK reward for #15,000 PNFT will become unlocked when #17501 PNFT is sold (+2501)
    • The ISK reward for #20,000 PNFT will become unlocked when #21667 PNFT is sold (+1667)
    • The ISK reward for #25,000 PNFT will become unlocked when #25834 PNFT is sold (+834)

Pioneer NFT Pricing and Value

The price of Pioneer NFT was designed to increase by $20 for every 10 NFTs sold starting at the public sale.

  • From #0001 to #4,000, Pioneer NFTs were sold in private sales to investors for $6,000
  • From #4,001 to #10,000 Pioneer NFTs are available for sale to the public using KLAY, and the price increase begins.  
    • During the first 1K limited release on June 30, 2022, the price for #4,991 – #5,000, will be $7,980
    • The price for #9,991-#10,000 will be $17,980
  • From #10,001 to #30,000 Pioneer NFTs can only be purchased with ISK Tokens. 
    • As NFTs are only purchasable with ISKs, people will buy ISKs in the market and use them to buy NFTs.
    • The ISK proceeds used to purchase the NFTs go to the Iskra platform, but Iskra will NOT sell the ISK but permanently stake it.
    • The total liquidity of ISK in the market is going to be reduced through the Pioneer NFT sale, positively impacting the sustainable growth of the ISK and Iskra ecosystem.
  • Once #30,000th PNFT is sold:
    • All Pioneer NFTs and locked ISK rewards will be unlocked and tradeable on the market
    • The last PNFT price sold to the public will be $57,980.
    • People would have purchased ISK Tokens worth a total of $760M from the market for the purchase of Pioneer NFTs.
    • ISK Tokens that are used for the purchase of Pioneer NFTs will not be traded but staked by the Iskra platform, resulting in the following:
      • Assuming that about 50% of the ISK Tokens released into the market would be absorbed by Team Iskra through Pioneer NFT sales, ISK’s Circulating Market Cap would be $1,520M
  • ISK Token Value Received as PNFT Rewards
    • Example 1:  Person A purchases a total of 10 NFTs for $60,000 at $6,000 each.
    • If 30,000 PNFTs are sold, Person A would receive 116,666.6667 ISK Tokens over a three-year period. (If fewer than 30,000 Pioneer NFTs were sold, person A can receive even more ISK Tokens)
      • The above calculation assumes that all 30,000 PNFTs are sold from the very beginning.  It takes time to sell out 30,000 PNFTs throughout the limited number of sales releases, therefore the initial purchasers of Pioneer NFTs will be receiving a greater number of ISK Token rewards than those participating in the later rounds. 
      • That means that during the limited release rounds, like the one on June 30, 2022 when we will only release 1,000 Pioneer NFTs, there will only be 5,000 total PNFTs that will share in the total PNFT Rewards.  This means that this period is one of the best times to own a Pioneer NFT to maximize Iskra platform rewards!  

Community Ranking and Rewards 

PNFTs have a major impact on Community Ranking and Rewards, as it is the most valuable asset in the ecosystem.  

Platform fees generated from every platform service in the Iskra ecosystem (Bridge, Dex, Marketplace, Stable Swap, Launchpad, Wallet) will be distributed back to the community through the Community Rewards Pool based on their platform participation which is calculated through the Contribution Point(CP).  

Below are the current allocations: 

  • 40% for Community Tier Reward (Diamond, Gold, Siver, Bronze, Iron). Learn more about Community Tiers here: 
    • If you are within the same community tier, all of those wallets (Accounts) receive the same reward at 1/n
  • 60% for Platform Contribution Reward
    • As calculated by dividing ‘your platform contribution points’ by ‘total platform contribution points’ each participant gets rewarded in proportion to the individual platform contribution point.

The higher your ranking, the greater the reward. Rewards are distributed according to the smart contract and claimed by the wallet (Account). 

Simply staking or operating nodes through the PNFTs allows you to acquire the highest Contribution Points (CP), which are used to determine your community ranking and tier, among any other means in the Iskra ecosystem. Remember, owning just one Pioneer NFT yields as much as 60,000 CPs, and can be even higher with the PNFT referral boosts.

Game Rewards with Higher Ranking

The higher the contribution points you have, the more benefits you will be able to receive from all services (Bridge, Dex, Marketplace, Stable Swap, Launchpad, Wallet) on the Iskra ecosystem, which also include Game Rewards. 

Game Asset Airdrop

  • Games launched on the ISKRA platform will be promoted to the community to make it well-known.
  • Having a higher community tier will offer you with a higher chance of winning in token and NFT airdrops in marketing activities for new games launched

Launchpad Privilege: 

  • If a game launched on the Iskra platform sells its game token through the launchpad, it will give rights for those in the higher community tier to have a higher limit cap in purchasing tokens. 

Early Access:  

  • The higher your ranking, the higher the chances of getting early access and previews to our next generation web3 games.

Governance and Staking Rewards

While not directly tied to Governance, PNFTs have the added benefit of allowing its holders to ‘stake’ their ISK rewards. Everytime you stake your ISK tokens, your governance influence increases.  

Simply by staking your ISK, you will be eligible to receive part of the 10 million ISK tokens given out annually for governance staking. That is 200 million ISK (20% of the total ISK tokens) that will be given out every year for 20 years. Governance staking rewards will be distributed to an account where the ISK Tokens are deposited.

In a Nutshell

Pioneers get the best rewards. Owning a Pioneer NFT gets you even more. Join us Today!

Ready to become a Pioneer NFT Holder?  Visit our PNFT page here: https://iskra.world/PioneerNFT

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