Since the announcement of Stratis’ plans to migrate to an Ethereum-based blockchain, there has been an overwhelmingly positive response from the community and the wider crypto space. As highlighted in their blog, Stratis is confident that adopting an Ethereum framework will unveil more opportunities and integrate them into a thriving development community.
In addition to the focuses Stratis highlighted in their previous blog, a list that included gaming, masternodes, web3 and more, it is key to highlight some of the core reasons that motivated this decision.
Integration
Choosing an Ethereum-based framework over a bespoke platform offers immediate integration with a robust and well-established ecosystem. This has presented challenges for Stratis in the past, particularly when liaising with exchanges and dApps in the crypto space. Leveraging the Ethereum codebase also means benefiting from continuous upgrades and innovations developed by a global community. Ethereum is consistently evolving, and by aligning with Ethereum, Stratis can leverage these advancements without having to independently develop similar technologies, which has been the case with the existing platform. This saves resources and ensures the platform remains at the forefront of blockchain technology advancements.
Interoperability
The shift towards an Ethereum-based framework opens doors to enhanced interoperability and compatibility with numerous existing decentralised applications (dApps) and protocols. The Ethereum blockchain hosts a multitude of dApps, ranging from decentralised exchanges to lending platforms, which Stratis can interact with or utilise for added functionality and value creation. Establishing such a wide range of interactions and partnerships on the existing platform has been challenging for Stratis and required additional development of complex and bespoke protocols.
Familiarity
Developers are more likely to migrate to a platform that offers familiar tooling; Ethereum dominates the market share of solutions leveraging blockchain technologies. Stratis’ recent blog details that a core focus is incentivising existing Ethereum-based projects to move to the StratisEVM platform. Leveraging an Ethereum-based blockchain makes the migration process effortless. It will enable projects to flourish on the StratisEVM platform, taking advantage of the SDA and scaling capabilities that will be introduced through the future L2 (Layer-2) solution.
Community Governance
Stratis is well-established within the blockchain industry and has attracted a substantial following since its launch in 2016. Stratis understands the importance of the community and token holders; without them, a decentralised and distributed blockchain would not be possible. Therefore, the proposal for StratisEVM will only progress on the result of a community vote. In addition to the fundamental changes incorporated into the move to the Ethereum-based blockchain, there will also be changes to token supply.
As described in the previous blog post, the proposal will introduce an increase in token supply, multiplying the existing token supply tenfold. This means that for every 1 STRAX, you will receive 10 STRAX Tokens on the StratisEVM blockchain. There will also be an additional minting of tokens to mobilise adoption efforts and future development of the StratisEVM.
Proposed Total STRAX Token Supply
The graph below considers the increase in token supply and incorporates the additional token minting. For simplicity, all graphs will be based upon a rounded figure and will change when the snapshot is defined.
Proposed STRAX Token Supply Breakdown
The graph below highlights how additionally minted tokens are distributed and the purpose of each distribution. Stratis also wants to clarify that existing SDA Tokens and company-owned tokens will form part of the Token Swap Fund pool. Additional pools of tokens are also proposed as part of the migration to StratisEVM.
Adoption Incentivisation
The “Adoption Incentivisation” pool plays a pivotal role in driving the innovation and utilisation of Stratis’s platform. This reserve of tokens incentivises developers to construct, innovate, and deploy their projects on Stratis’s platform. By providing tangible rewards and a pool for financial backing, Stratis aims to alleviate the initial burdens of blockchain development, such as operational costs, smart contract deployments, and dApp production. Furthermore, this pool aims to stimulate a vibrant developer community where the exchange of ideas, collaboration, and innovation is encouraged and rewarded. Stratis aims to spark creativity and development that aligns with the platform’s capabilities and future vision, enriching its ecosystem with diverse and innovative applications.
Stratis understands that its utilisation and on-chain activity define the inherent value of the platform. The existing model of the SDA (Stratis Decentralised Accelerator) initiative has already enabled several games and projects to be built and deployed on Stratis. As mentioned in the previous blog, these projects support the StratisEVM initiative and will actively begin their migration upon the vote succeeding.
It’s also worth highlighting that this pool of tokens and remaining SDA Tokens will be controlled by a Smart Contract that can be publicly queried. Stratis intends to deploy a governance dApp that will enable the community to easily control the issuance of tokens in a web3 manner.
Foundation
The “Foundation” pool is allocated to secure StratisEVM’s platform’s developmental and business relations. This fund is dedicated to propelling technological development, ensuring the platform is robust and secure and consistently evolving to meet the needs of users, developers and the community. It ensures that Stratis has the necessary resources to explore, innovate, and integrate cutting-edge blockchain technologies and features into its platform. Additionally, it supports Stratis’s business activities, including marketing, partnerships, and other strategic initiatives. These are crucial for expanding its reach, enhancing its community, and establishing its presence in the blockchain industry.
Developments will include the introduction of an L2 solution that caters for both the StratisEVM blockchain and the Ethereum blockchain. Akin to successful projects such as Arbitrum, Optimism and zksync era, Stratis will focus on introducing cutting-edge ZK (Zero Knowledge) technology, ensuring that their solutions leverage the latest innovations in the space.
Network Incentivisation
The “Network Incentivisation” pool aims to enhance Stratis’s platform’s liquidity, stability, and interoperability. This pool is instrumental in leveraging services such as bridges and market maker services, which are vital for improving interoperability and connectivity with other blockchains. By investing in established bridging technologies, Stratis aims to create a seamless and interconnected blockchain network where assets and data can flow freely between its platform and others, enriching the Stratis ecosystem and enhancing its users’ experience.
Stratis will be actively reaching out to established platforms within the crypto space, seeking to incorporate support for the StratisEVM blockchain. Projects of focus include Celer Network, which provides interoperability between several blockchains; Chainlink, which provides oracle services and secure cross-chain communications; and Stargate, which provides a plethora of DeFi bridging functionality.
Staggered Distribution
All additionally minted tokens will not be available at launch; the release of tokens will be staggered over a two-year period, as detailed below. The tokens will be locked within a Smart Contract, offering full visibility and transparency on the token release schedule.
How to vote?
Making sure the voting process can’t be unfairly influenced is crucial. Stratis has chosen an on-chain, weight-based voting method to facilitate the vote. The voting function keeps track of each voting wallet’s balance and voting choices (for or against proposed changes). A transaction is made for every address with a balance over 1 STRAX Token. If your wallet is very active, this might mean several transactions, each with a small fee.
When voting ends, all blockchain addresses will be checked within the set voting period, and the balances of those voting for will be added up and compared to those voting against. A simplified example can be found below:
• Token Holder A votes ‘For’ with a STRAX Balance of 1000
• Token Holder B votes ‘Against’ with a STRAX Balance of 500
• Token Holder C doesn’t vote and has a STRAX Balance of 2000
In the above circumstance, the decision would be ‘For’.
Note that funds moved from the wallet won’t affect the voting decision. Also, if you make regular transactions, your addresses might change due to our wallet software’s privacy features, which could make your vote not count in the final decision.
Voting is made easy with new Voting features in the latest wallet version that will be released on Tuesday, 17th October.
