Fibonacci concept for Cardano’s staking

Coming from a sustainability and system thinking background not a computer scientist or mathematician by any means but had a great idea to tackle some of the underpinning perceptions regarding the limitations of cryptocurrencies as a stable market to invest by the wider population which would be arguably the later adopters to a cryptocurrency system in the foreseeable future. Staking is definitely a way to reduce volatility and foment a more stable proof of work for third generation Cryptos. I’m very interested in not only the stability and growth of the system but also the reduction of volatility and the idea of opportunity for all stakeholders regardless of when they get on board the train. Although this volatility brings opportunities to many it also drives investors into other more unstable trading systems for more gains for their investments or follow the traditional market for the reduction in risk. I thought staking is a good start and the rewards are definitely a form of stabilizing the system for long term growth and opportunity for everyone with any desire to have a piece of the pie.

Oftentimes the crypto stakeholders refer to cycles where they can invest/divest for short term gain oftentimes creating very slow growth and aversion to losses as in any investing venture understandably. Individuals that have a lot to lose- fear that the cryptocurrencies are way too risky to delve in at this point in time. Which brings to the conclusion that stability and growth is the driving force of a healthy coin and the biggest competitiveness in that developing system. Through staking rewards Cardano models achieve this goal to a degree but still doesn’t stop the stakeholder from opting out, losing the rewards and investing on other coins for that return.

So this is where I came up with the Fibonacci concept of multiplying the rewards of stakeholders through milestones events along its growth. 0,1,1, 2,3,5,8,13,21,34, … As the stock rises it passes through any of the Fibonacci’s sequence as a milestone event, any stakeholder staking an amount of ADA’s through these milestone events can earn the normal rewards while also multiplying the rewards and these decay after a x number of days. This allows the drive to meet milestones for growth and staking before and after these milestone decay period cements stability and growth. Passing through 2 or more milestone events presents another multiplier on top of the first. Individuals who want to earn passive income at any stage can achieve faster results from investing on these milestones and staking their amount through multiple milestone events. This in principle would cause fanfare around when the next milestone event is, ensure staking it’s prolonged and rewards stakeholders in the process. Individuals can have staked ADAs for the passive income and unstake variants for selling their ADAs at any moment. The passive component allows stakeholders to find value in staying with the project without the need to dive into volatile competitors and promote growth between milestone events. The idea of starting on investing on something like Bitcoin or Ethereum (which feels like ship sailed long ago) is way to high for any possible short term return on investment or jumping onto risky smaller coins which are volatile and unstable, any investor can jump to a system like Cardano at any time and be rewarded much more efficiently and in a stable manner with foreseeable return for investments that can be measured and planned.

Let me know what the community thinks, I think even though it can be incorporated into the system it doesn’t necessarily need to be like I explain here. You wizards may find inspiration and come up with better ways to work on this concept if there should be any value in it.

Steven Martinez Garcia