Algorand allows staking in same in exchange for Governance rights against a pre-determined APR where the more token staked, the lower the anticipated APR % is net at the time of distribution. The tokens are withdrawn from the user’s immediate liquidity. If any amount of staked Algo is removed from the protocol/contract, the user forfeits all [?] rights to any staking reward.
Temp check for allowing this type of contract to exist for ENS?
There is no reason for this.
Actually there is very little reason in general that smart contract tokens have staking but that’s another discussion.
I would challenge you to provide clear and convincing reasoning this is needed and would strengthen ENS as a public good.
Ultimately, there is a probable personal and financial incentive at play.
Incidental benefits:
This could prompt folks to commit to participate more in initiatives.
If the tokens are locked away for an “extended” (X>30 days) period of time, it may help keep liquidity more stable than it probably already is; it may allow for a portion of the tokens to be employed by the DAO for interest-bearing purposes.
I doubt this does anything indirectly for ETH staking in/directly, but I welcome any “well actually…” comments/ideas.
There is room for ENS tokens to be more dynamic than what I might understand them to be.