There are a lot of features in Stasis Network that users are excited to try out. The most flamboyant feature that has caught people’s attention is the Stasis Viking Collection NFTs. An exclusive 700 NFT collection of all one-of-ones that are AI-generated with Stasis branding embedded in the artwork.
However, the best part of the NFTs? They pay you for holding them. NFTs are no longer just jpegs. A passive income non-fungible token that is nice to look at, and pads your wallet at the same time. SVC NFTs are projected to have a conservative, long-range APR of 25–50%. However, depending on several variables, this number could be significantly higher.
Crunching the Numbers
The NFTs earn rewards as the protocol burns tokens. Tokens are burned via an automatic mechanism in the token taxes, plus manual buyback and burns conducted by the team. We project at least 25% burn of the token supply after one year.
Starting total supply: 260,000,000 End year one supply: 195,000,000 (-25%)
The NFTs receive rewards from the tokens locked in the NFT contract. Approximately 9.6% to start. As the protocol burns rewards, it requires less tokens to maintain the locked percentage, and excess tokens are paid out to NFT holders. Additionally, the contract decays by 0.33% per week, after one year, the locked percentage would be reduced to 8.2%.
There are 25,000,000 STS tokens in the contract at 9.6%. After one year of burning (-25%) & decaying down to 8.2%, There will be 16,000,000 STS tokens in the contract.
That means approximately 9,000,000 STS tokens will be paid out to NFT holders over the first year. That is 22,850 STS tokens per NFT over the first year.
At the launch price, that is $228.50, or 38% APR for year one. Right in line with the conservative projection we laid out of 25–50% APR.
But is it really?
Projecting into the Future
As we have postulated throughout this process, the Stasis Network team anticipates the token to rise in value by approximately 400% by the end of year one. From $0.01 launch price to an average of ~$0.05 per token.
Burns and price gain will be variable, but we can at least build a projection assuming a linear burn and price growth. A total of 22,850 means NFT holders will receive ~1,900 tokens per month. We can then project value gain at the end of each month moving through the year.
Accounting for the projected increase in value of the STS token over the year, a holder of the NFT who collects their reward would potentially see an end-of-year value of $1,142.52.
Adding to these rewards, holders are able to auto-compound their weekly rewards into Single Staking, where we anticipate ~20% APY. If we were to amortize the interest over each month, accounting for the returns above, a holder could project an increase from $1,142.52 to $1,243.76.
$1,243 is the projected first-year passive income return on a $600 NFT. So much for just another jpeg.
Public NFT Mint is LIVE HERE until Thursday, 23:59 UTC.