What effect will SUN have on staking rewards?

What effect will SUN have on staking rewards?


If you've missed the news, yesterday was the first day of "Genesis Mining" for Tron's new SUN token, part of its continued push into Defi. Once you've safely found a chair and are far away from anything breakable that you might knock over, take a look at the day's volume on Tron. Within just a few hours of starting earlier today, billions of TRX found their way staking for SUN tokens.

As I was busy with work and generally indecisive about such things, I have yet to stake any Tron for SUN. I'm not sure what the right choice is, but here is one interesting stat to think about:

On September 1st, there were around 27.4 billion TRX frozen on the network.

On September 2nd, there were only around 17.2 billion TRX frozen.

That is a huge amount taken out of freezing and voting!

On the same note, 9/2/2020 set a record for lowest freeze rate on record at 17.07% of supply, compared to 27.28% the day before. Looking already at 9/3/2020, there is a new record low of 16.78% frozen. Source: Tronscan

Digging a bit deeper, this could have a major effect on any Tron that is still frozen and voting because of how rewards are distributed. For example day over day, my staking reward increased by 13.38%! It might be even higher next time because the reduction of frozen TRX will be in full effect across 4 rounds (it all depends on when in the voting/freezing cycle those billions of Tron were unstaked). And if there are even more TRX staked for SUN, the number may increase further. 

Overall, even if I continue to be indecisive and drag my feet on whether or not to stake for SUN, I might see an increased reward for freezing and voting while I wait. I'm very curious how future rewards will be over the next 14 days (the amount of time to stake for SUN), so I am looking forward to today's payout!

Thanks for reading! What do you think - freezing, staking for SUN, or something else?

(Note: I accidentally posted this before completion last night, but took it down to finish. Sorry for any confusion!)

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Exponential Explore
Exponential Explore

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