I am going to make a long thread on the $GODL protocol (@GODLsupply) for the purpose of spreading more understanding and awareness on this protocol. For that reason I will try my best not to use complicated jargon on my thread and wherever fits, insert my own experience as one of the miners in the past 2-3 weeks. If you wish to have a more descriptive/technical explanation on what $GODL is, you can always visit their website first at godl.supply/about and then come back here for my thread if you still feel there are missing gaps in your mind. 1. What is GODL and the GODL protocol? In brief (details you can read on the website): $GODL is the token minted by the $GODL protocol and it serves as the central currency for the $GODL ecosystem. You can either purchase it from open market (dex as you would usually purchase other solana tokens) or you could mine it here godl.supply The $GODL protocol allows you to mine $GODL using SOL but more on that below. Some key metrics for the $GODL token: - Max supply: 21 million token; - Emission rate: currently 12 $GODL per minute/round (breakdown: 10 $GODL for the miners + 2 $GODL for the motherlode --> more on motherlode later in mining section below); - Circulating supply: currently at 283,705 tokens but keep in mind this number fluctuates as new tokens are being minted (from mining) and buried periodically (from warchest strategy --> more on this below). 2. Mining or Buying? Which one is for you? And how do you mine? Let's get right down to the heart of it. (Gamified) mining here is a probability and strategy game (I bold that *and* because yes you need both, there are probabilities and strategies involved in mining), and I can say from experience once you get the allure of it, caution, YOU'LL GET ADDICTED FAST 😁. Since it uses SOL for mining, and it is a probability game (but also a strategy game where you can strategize to stack the odds in your favor), from mining, you can either earn GODL (from mining) your SOL worth (breakeven), less than your SOL worth, or even more than your SOL worth (for reference, I got more than double my SOL worth yesterday because of motherlode and today's GODL price pump, so strategize at will!). So: - You need SOL to mine $GODL; - There are 5x5 grid (25 blocks essentially) which you can bet your SOL into every round; - Each round lasts for 1 minute; - Every round, RNG will pick 1 of the 25 blocks as the winning block and if you bet on the winning block you will get $GODL (from the 10 $GODL emission per minute) and a portion of your SOL back. *Note: Not every win earns you a portion of the GODL emission, sometimes only SOL, but if you're lucky sometimes you can win the whole 10 $GODL emission for that round. Still drawing a blank? hahaha don't worry, you need to try and test it out to understand but here's a simplified and rough calculation to get you started. How much should I bet for mining? And how much do I get from that bet? As for how much that depends on your capital, but the more you are accustomed to it, you can strategize on it. But for numbers sake, you can bet as little as 0.0001 SOL per block. For every win, you earn a portion of your SOL back. How much? Well the technical calculation is your % share of the block (meaning if your block has total of 1 SOL bet, and you bet 0.1 SOL, you have 10% share of the block) multiplied by the sum of total SOL of the losing blocks. So if total of the losing blocks are 24 SOL, you will get around 2.4 SOL back (before protocol fees, in actuality you'll get around 2.1 or 2.2 SOL back from your 0.1 SOL). Sounds amazing winning 21-22x of your SOL put in? YES, but don't forget the cost of bet you put in. Did you bet on 1 block only? how often do you think you can win in 1 of 25 chances every round? If you did bet on 1 block only and won, yes you just won yourself 21-22x of your SOL back PLUS GODL (if you are lucky, but more on the GODL winning later below). Most miners bet 25 blocks altogether to ensure winning every round, but because you only win back 21x-22x of your betted SOL every round (while the cost of bets are 25 blocks (you can only bet the same amount for each block)), this also ensures your gradual decline of SOL every round (but don't forget you also get your GODL which is the main purpose of this mining). Some miners may bet their SOL on 15+ blocks which still has high odds of winning, in the hopes they get lucky and retain their capital much longer for mining GODL (because if they bet less than 22 blocks, when they win, their cost of bet is less than the SOL won meaning they get even more SOL than they started with and can keep mining for longer (or stop mining and take the SOL profit, your choice)). Remember what I said before? Strategy and probability game. Addictive? Very! Some may aim for longer rounds with little bets every round, some may aim big but shorter rounds. You decide! So now, let's talk about the GODL you earn. How much will you earn? Again it depends on how much SOL you put in and how active is the mine when you are mining because it is subject to your % share of the block. That % is then divided on the 10 $GODL emission per round. You can roughly calculate your % share of the block by seeing the total sum of the block you are betting (which will differ every block) and the SOL you bet. Then when you get that %, multiply it by 10 $GODL. If your share is 1% then if you win you'll get 1 GODL on that round. However, it is not that simple because the protocol governs 2 possibilities when a round is won. 1st one is that the 10 $GODL will be split evenly by % of those who are on the winning block, and 2nd one is that the by randomized weighted chance, the miner who bets more SOL has the chance of getting all the 10 $GODL for him/herself. When this happens, all the other winning miners only get a portion of their SOL back, no GODL for them on that winning round. Don't fret though! Although this is a randomized weighted chance, I've seen plenty of instances where those who bet less than the (whale) miner still get the 10 $GODL on that winning round, albeit not as often. Mining Pool This is where mining pool comes to aid the little miners. Miners can join a mining pool where their total SOL are weighted together. In that sense, the mining pool may win the 10 $GODL per round more often, which is then shared to the miners in the mining pool based on their %. The only key difference mining pool provides is the opportunity to earn share of the GODL more frequently, but at the same time it eliminates your chance to win the 10 $GODL for yourself. So you need to assess for yourself, where do you belong? Solo miner with a chance to win that 10 $GODL in the winning round, or mining pool with no chance to win that 10 $GODL for yourself (we call it solo win) BUT more frequent sharing of a portion of that 10 $GODL when the mining pool wins it? Again, strategy and probability. Addictive? YES, VERY! Motherlode What is Motherlode? It is essentially a jackpot which hit in 1/625 chance. When it hits, all those $GODL and SOL you see accumulated in the motherlode will be distributed in proportion to all miners in the WINNING block (again proportionate to your %). So strategizing your capital and how long you can mine to also take into account your potential for winning the motherlode, is also part of the strategy! UNREFINED AND REFINED GODL What is this and how is this important? From my observation, this is the most slept on feature by miners. You see, when you mine and win GODL, you get what is called Unrefined GODL. YOU CANNOT GET THIS FROM THE MARKET, you can only get unrefined GODL from mining! Unrefined GODL, when unclaimed, it generates refined GODL over time. When both are claimed, you get the GODL token. So now you're asking what's the difference between staking? it also generates GODL for you right? Yes, both generate GODL but at a different rate. There is no fixed APR/APY for Unrefined GODL generation of refined GODL. Basically, 10% of all unrefined GODL that is claimed by miners (so yes when you claim your unrefined GODL you get taxed 10%), gets distributed to other miners in proportion to their unrefined GODL holdings, as refined GODL. So holding your unrefined GODL generates you passive income of more refined GODL. How's the yield you're asking? in terms of %, my refined GODL amount is currently already at 90% of my unrefined GODL amount after 3 weeks of holding my unrefined GODL. So, I almost doubled my GODL bag in 3 weeks just by holding unrefined GODL. Again pls bear in mind that the yield depends on miners claiming their unrefined GODL and so far this outpaces staking yield (particularly those who are staking only for short term). So all this long sub-section, we should come back to the very first question that started this sub-section: "Mining or Buying? Which one is for you?" After you get some illustration on mining above, the answer really depends on you. If you want to skip the hassle and you are less risk averse, then perhaps buying it from market is the right choice for you and then you can stake it. Otherwise, mine away! This way you'll also contribute to the protocol's health and revenue (and buybacks) and also earn the unrefined GODL yield! 3. Protocol Fees and Buybacks As for breakdown on protocol fees, you can see it here: godl.supply/about/tokenomi… As for buybacks, we have our own warchest, which you can read more here: godl.supply/about/warchest All I can say is our buybacks are not done blindly. They are strategized and we have our own @Morrat2023 from meteora LP army as advisor for the GODL team! If you have more technical questions on the warchest be sure to tag @Morrat2023 ! 4. Why hodl your GODL? Lastly, why should you hodl your GODL? Simply because this is just the beginning. Several hours ago, the team behind GODL just announced an extension of the GODL protocol i.e. @preminefun which is a mining based launchpad. This will be a new era of launchpad and, if successful, will be direct competitor of pumpfun! You can see that the team is aiming big! Oh, you may also notice that @GODLsupply X account has golden ticker. But did you know that just a week ago, we were fudded harshly by a competitor's fanatical followers (not the competitor per se), got our X suspended (YES SUSPENDED, most likely due to mass malicious reporting by those fanatical followers), but the team and the community never wavered, kept persevering, kept building, and now we even got our X back (yes we got it back, this is not a new X acc, which does not happen very often) and then the team announced a new product @preminefun . This is the definition of dream team, the team behind GODL! How often do you find this kind of team in Solana? So there's your answer on why you should hodl your GODL! If you managed to read this far, I thank you and hopefully my thread is helpful somehow. $GODL = Gold On Digital Layer The rush is just beginning!
