Season 2 Rewards & Loyalty.

Season 2 Rewards & Loyalty.

How much Blur: NFT Marketplace


May 1st, 2023

Overview

300M+ BLUR will be distributed in Season 2 to the Blur community. Points and Loyalty determine how much BLUR each trader will receive. Both are equally important to earning BLUR. If you earn a lot of points but have low loyalty, your airdrop will be lower than if you maintained high loyalty. We designed the airdrop this way to ensure that traders who actively use Blur will be rewarded with the most tokens and control of the protocol.

Points

There are now 3 ways to earn points: Bidding points, Listing points, and, starting May 1, Lending points. All points are worth the same, so 1 Bidding point = 1 Listing point = 1 Lending point. And now, some collections get more points than others (see Point Allocations). Additionally, there’s a rolling 24h leaderboard that grants different boosts up to 2.5x for the top 100 point earners in the 24h time period.

Bidding points

  • Points are rewarded to bids on collections based on the collection’s 24h volume.
  • Within a collection, the bids that take the highest “risk” earn the vast majority of points.
  • i.e. if the floor is 1.01 and there are 100 bids at 1 and you bid at 0.99, then your bid won’t earn as many points because there’s 100 eth of buy walls ahead of you, but if you bid at 1.01 you’ll earn a lot more because now you’re taking the most “risk”.
  • The longer your bid is active the more points you’ll receive. When a bid is accepted it stops earning points.

You can reuse the ETH in your Bid Pool across collections, so the strategy that yields the most points is to bid closest to the floor across active collections. This doesn’t necessarily require a lot of ETH because you can bid on active collections that have low floors.

Points are only rewarded for active bids so there are no airdrop benefits to having your bids get accepted, other than getting a new NFT at a price below the floor.

WARNING: Some bidders will attempt to “game” the bid system by frontrunning txs that try to accept their bids. This activity is easy to detect on-chain and we will retro-actively filter those bidders from the Season 2 airdrop. Note that most of the on-chain analysis will be conducted at the end of Season 2, so spoofers may appear to be getting away with it during the season, but ultimately they will not receive an airdrop at the end of the day.

Listing points

Listing points work differently than Bidding points. To prevent gaming the system, listing points are not visible, but here are some tips on how to get the most listing points.

  • The more you list, the more you earn
  • Listing blue chips helps
  • Listing more active collections helps
  • Use all our listing tools — you can list by floor price, trait floor price, and ladder list
  • List floors, mids, and rares
  • Don’t try to game the system (constantly relisting NFTs at unrealistic prices, sybil attacking, or listing dead collections) — we will conduct extensive analysis to weed out traders with unnatural listing activity
  • With that said, if you just list naturally on Blur, you’ll be fine.

Lending points

On certain collections, Listing points have been replaced with Lending points. Collections can’t earn both Listing and Lending points at the same time, so Lending points are non-dilutive. For instance, if a collection were to earn the following points per day before lending was enabled:

  • Listing: 50 points per day
  • Bidding: 50 points per day

Then the collection would earn 100 points per day in total. If the collection were then to have lending enabled, the points would change to:

  • Listing: 0 points per day
  • Lending: 50 points per day
  • Bidding: 50 points per day

So the collection would still earn the same amount of points per day.

Lending points are visible and update every 5 minutes. You get Lending points by making Loan Offers using ETH in your Blur Pool. This means that you can earn both Bidding points and Lending points at the same time using the same ETH in your pool.

You can earn both Bidding points and Lending points at the same time using the same ETH in your pool.

There are two factors that determine how many points your Loan Offers receive

  • Max Borrow – this is the maximum amount of ETH someone can borrow using a single NFT. The higher the Max Borrow, the better.
  • APY – this is the interest you’ll earn on your loan offer once it’s accepted. The lower the APY, the better.

You can make multiple Loan Offers on the same collection with different Max Borrows and APYs and earn points for all of them. For example, if a collection’s floor was 10 ETH, you could make an offer with a 9 ETH Max Borrow, 50% APY, and another offer with a 5 ETH Max Borrow, 20% APY, and earn points for both offers.

You can also reuse the ETH in your Blur Pool across collections. So the strategy that yields the most Lending points is to make multiple Loan Offers at competitive Max Borrows and APYs across collections.

WARNING: You should only make loan offers at rates you’d like accepted. If you close your loan within 24 hours of it getting accepted, your wallet will lose 250 points. Loans can be closed after 24 hours without penalty.

Point allocations

Not every collection receives the same amount of points, and some will earn boosts relative to others.

A collection will earn either Bidding and Listing points, or Bidding and Lending points.

Point allocations and boosts will be updated dynamically depending on various promotions. For instance, all collections with lending enabled currently earn 2x points.

You can view the current allocations on the Points tab.

Loyalty

Loyalty is the secret weapon for getting the most rewards in Season 2. At the end of Season 2, every traders’ points will be converted into Care Packages with random rarities. Traders with 100% loyalty have the highest chances of Mythical Care Packages, which are worth 100x Uncommon Care Packages.

Here are 3 ways to maximize your Loyalty

  • List through Blur. Whenever you list, make sure to list using Blur. You can use our advanced listing tools to list on multiple marketplaces in one go, but in Season 2 there’s only one way to maintain 100% loyalty.
  • In Season 2, you get a 100% loyalty score if you don’t have listings anywhere else. Use our new maximize loyalty button to remove your third party listings and get your score to 100% in a single transaction.
  • Make sure you actively list NFTs in addition to maintaining your loyalty. Listing blue chips and active collections while maintaining 100% loyalty is best. The UI shows your current loyalty, but your average loyalty is what is used at the end of Season 2, so don’t just optimize your loyalty at the very end of the season.

Conclusion

The majority of BLUR will be distributed to community members who contribute to the protocol’s success. Traders who actively use Blur throughout the season and maintain their loyalty will receive the most rewards. You can get started earning points now on BLUR.io.

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