SPS DAO Proposal: Splinter Royale SPS Rewards

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The Splinter Royale community would like to propose allocating 150,000 SPS per month for 12 months to a rewards pool for players within the Splinter Royale game.

We expect that the net benefits to the SPS DAO and asset holders will be bigger than the added SPS rewards.

Specifically, the Splinter Royale game, which is already live & playable under splinterroyale.com, aims to provide value to the SPS ecosystem in the following ways:

• New Game Mode within the SPS/Splinterlands ecosystem. Available in the Browser, on Desktop & Mobile, to reach new players and help to broaden the player base.

• Requires staked SPS to earn rewards. Thus an increased need for staked SPS.

• Splinter Royale products are purchasable with SPS and DEC.

• We are currently working on EVM smart contracts for the Hero cards that are planned to go live with pack opening. Which means, we're targeting EVM chains, thus broadening the playerbase even more. These contracts could technically also be used in the future to bring Splinterlands to EVM.

• We are also looking into ways to provide sinks & use-cases for more Splinterlands/SPS assets, such as cards, land and burned DEC (BDEC) and are open for co-operations between Splinter Royale and Splinterlands/Soulkeep for burn-events, etc. We did not include any such events yet, because Splinterlands & Soulkeep both have their own roadmaps & time constraints and we didn't want to put more work on their plate.

In the draft proposal, the SPS would come from the pool that was initially reserved for the Splinterlands team, similar to the Soulkeep game. However, since the Binance exchange listing proposal passed and thus temporarily locked up the funds for a year, we're proposing that the 150,000 SPS per months comes from the pool of SPS that has opened up after cutting the liquidity provider fees across multiple recently passed proposals.(DEC:USD, SPS:WETH, DEC:DAI, SPS:BNB, SPS:VOUCHER - in total over 700k SPS per month).

Why 1.8M SPS over 1 year?

With 150k SPS per month, we are well below battle rewards of other games within the SPS ecosystem, as well as other SPS reward pools (https://sps.splinterlands.com/rewards). Below is a table to showcase the difference between battle rewards. Please, note that this does not include the reduction of 1% per month over 65 months.

Technical Details

The reward distribution will work similarly to how ranked battles in Splinterlands are rewarded. Approximately 0.171 SPS will be added to the reward pool every 3 seconds (one Hive block), which amounts to 150,000 SPS tokens per month. (Note: It is TBD whether the SPS rewards would be subject to the 1% reduction per month)

Every eligible Splinter Royale battle will award the player a certain number of reward shares based on a number of factors, including if they won in duel mode or how many wins they've achieved in battle royale, what hero card they used in the game, and how much boosted SPS they got (stakedSPS + delegatedSPS * 2). The amount of reward shares earned by the player for that battle will be compared to the total amount of reward shares earned from all battles over a given time period (i.e. 24h, 7d, etc.). And then the smaller value of the reward share, the maximum share of the pool and the maximum SPS rewards will be taken.

For a detailed view of how we designed the reward share algorithm thus far, please refer to the whitepaper: https://whitepaper.splinterroyale.com/rewards/overview

Additionally, since we want to make sure that human players are fighting each other, we are planning to include an idle mode as alternative to the gameplay bots. This will utilise the same reward share algorithms explained in our whitepaper but with a 60%-70% cut (1 SPS win => 0.3/0.4 SPS idle mode). That way, human players have a clear advantage and bots are kept out of the gameplay. In case a player is still botting, the player will be timed out from ranked for a given time period. Since staked SPS & delegated SPS have cooldowns attached, the idle mode will be an economically better alternative than getting timed out and losing out on rewards.

With this said, everything above is subject to change and we aim to provide a system that provides maximum value to all involed participants: the SPS DAO & community, the Splinter Royale game and the players.