Sparkles FTSO — Reviewing the Rewards (DOTM edition)

Those familiar to Flare Network will also be aware of the opportunity to delegate to Flare Time Series Oracles (FTSOs), and their Songbird equivalent Songbird Time Series Oracles (STSOs). For those new to Flare and Songbird, it is highly recommended to get familiar with the breakdown of the FTSO.

As Flare Network has launched in “observation mode” in anticipation of Flare mainnet going live, this article takes a look back at the true value of the Sparkles FTSO rewards on Songbird, in preparation for the shift to the Flare FTSO on mainnet, with a particular focus on the Defenders of the MetaSpark Collectors’ Edition: Concept Art series, in advance of the highly anticipated Defenders of the MetaSpark (DOTM) release.

FTSO — A Brief Overview

FTSOs are a critical piece of infrastructure of Songbird and Flare Network, providing externally sourced data sets, such as price feeds, to the Flare Network whilst maintaining decentralization of the network.

Participants of the network can delegate their native tokens to FTSOs by wrapping them, which also delegates the tokens vote power.

In return for delegating to FTSOs, delegators are rewarded from the inflationary token mechanics and receive the native unwrapped token in return.

In addition to the obligatory delegation rewards, some FTSOs provide additional benefits, as Sparkles FTSO has done.

Sparkles FTSO Rewards

In addition to obligatory delegation rewards, to date, delegators supporting Sparkles FTSO have had the opportunity to receive the following NFTs:

1) GitHub Error 505 — Canary Chaos

2) Sparkles: The Drop — It’s All In The Code

3) Defenders of the MetaSpark — Collectors’ Edition: Concept Art #1

4) Defenders of the MetaSpark — Collectors’ Edition: Concept Art #2

5) Defenders of the MetaSpark — Collectors’ Edition: Concept Art #3

6) Defenders of the MetaSpark — Collectors’ Edition: Concept Art #4

7) Defenders of the MetaSpark — Collectors’ Edition: Concept Art #5

8) Defenders of the MetaSpark — Collectors’ Edition: Concept Art #6

DOTM — Unlocking the True Value

Whilst the reward rate of an FTSO is the primary metric, the additional value provided by Sparkles FTSO through the DOTM reward program merits some unpacking.

In breaking down each epoch reward period, and by utilizing the analytics* features on https://sparklesnft.com and data from https://coinmarketcap.com, delegators and DOTM aficionados can see what Sparkles has provided by viewing the highest sales prices for each DOTM Concept Art NFT to date**.

(* Sparkles analytics are currently based on data available from v2.0 of the marketplace and correct at the time of this article. The highest sales of NFTs are therefore underestimated given that previous sales on the MVP for higher values are not included for the purposes of this article.

** Rewards take into consideration that the delegator retains possession of their delegated WSGB)

DOTM Concept Art #1

To be eligible for DOTM Concept Art #1, the following was required and received:

Qualifying Period: Epochs 20 to 23

Delegation Minimum: 500 SGB / $43.76

Received: Defenders of the MetaSpark — Collectors’ Edition: Concept Art #1

Highest Daily Average Sale: 23,000 SGB / $664.03

Highest Daily Average Sale Rewards: +4,600% SGB / +1,517.4% USD

SGB price at vote power lock-in for epoch 20
Highest daily average sales of DOTM Concept Art #1 in SGB
Highest daily average sales of DOTM Concept Art #1 in USD

DOTM Concept Art #2

To be eligible for DOTM Concept Art #2, the following was required and received:

Qualifying Period: Epochs 24 to 27

Delegation Minimum: 500 SGB / $38.90
Received: Defenders of the MetaSpark — Collectors’ Edition: Concept Art #2

Highest Daily Average Sale: 4,500 SGB / $132.43

Highest Daily Average Sale Rewards: +900% SGB / +340.4% USD

SGB price at vote power lock-in for epoch 24
Highest daily average sales of DOTM Concept Art #2 in SGB
Highest daily average sales of DOTM Concept Art #2 in USD

DOTM Concept Art #3

To be eligible for DOTM Concept Art #3, the following was required and received:

Qualifying Period: Epochs 28 to 31

Delegation Minimum: 500 SGB / $36.63
Received: Defenders of the MetaSpark — Collectors’ Edition: Concept Art #3

Highest Daily Average Sale: 1,490 SGB / $43.61

Highest Daily Average Sale Rewards: +298% SGB / +119.1% USD

SGB price at vote power lock-in for epoch 28
Highest daily average sales of DOTM Concept Art #3 in SGB
Highest daily average sales of DOTM Concept Art #3 in USD

DOTM Concept Art #4

To be eligible for DOTM Concept Art #4, the following was required and received:

Qualifying Period: Epochs 32 to 35

Delegation Minimum: 3,000 SGB / $167.46
Received: Defenders of the MetaSpark — Collectors’ Edition: Concept Art #4

Highest Daily Average Sale: 4,700 SGB / $122.17

Highest Daily Average Sale Rewards: +156.67% SGB / +72.78% USD

SGB price at vote power lock-in for epoch 32
Highest daily average sales of DOTM Concept Art #4 in SGB
Highest daily average sales of DOTM Concept Art #4 in USD

DOTM Concept Art #5

To be eligible for DOTM Concept Art #5, the following was required and received:

Qualifying Period: Epochs 36 to 39

Delegation Minimum: 3,000 SGB / $106.38
Received: Defenders of the MetaSpark — Collectors’ Edition: Concept Art #5

Highest Daily Average Sale: 832.33 SGB / $24.03

Highest Daily Average Sale Rewards: +27.74% SGB / 22.59% USD

SGB price at vote power lock-in for epoch 36
Highest daily average sales of DOTM Concept Art #5 in SGB
Highest daily average sales of DOTM Concept Art #5 in USD

DOTM Concept Art #6

To be eligible for DOTM Concept Art #6, the following was required and received:

Qualifying Period: Epochs 40 to 43

Delegation Minimum: 3,000 SGB / $96.21
Received: Defenders of the MetaSpark — Collectors’ Edition: Concept Art #6

Highest Daily Average Sale: 1399.5 SGB / $35.21

Highest Daily Average Sale Rewards: +46.65% SGB / 36.6% USD

SGB price at vote power lock-in for epoch 40
Highest daily average sales of DOTM Concept Art #6 in SGB
Highest daily average sales of DOTM Concept Art #6 in USD

Breaking Down the Figures

When examining the cumulative value of NFT rewards in both SGB and USD for qualifying delegators over the qualifying periods, excluding the obligatory delegation rewards and focusing solely on the DOTM Concept Art rewards, the return from delegating to Sparkles FTSO looks as follows:

Cumulative Qualifying Periods: Epochs 20 to 43

Highest Delegated Epochs (32 to 35): 3,000 SGB / $167.46

Cumulatively Received: DOTM #1, #2, #3, #4, #5 & #6

Cumulative Highest Daily Average Sale: 35,921.83 SGB / $1,021.48

Cumulative Highest Daily Average Sale Rewards: + 1197.39% SGB / + 616.55% USD

Delegation requirement & DOTM Collectors’ Edition: Concept Art cumulative highest sales
Percentage increase based on highest delegation requirement

It is worth considering why the community has assigned such value to these NFTs relative to the required minimum delegation amounts.

Putting the NFT sales metrics aside, anyone who has held onto, or bought into, the DOTM Collectors’ Edition: Concept Art is able to utilize the benefits attached to them.

Those holding 5 of the 6 will receive a whitelist spot and 25% off the public mint price of the DOTM mint, whilst those holding all 6 will receive a free DOTM mint in addition to a free MetaSpark loot box.

Once the DOTM are minted, owners of the concept art will be owners of historic NFTs, representing not only the creative process behind the DOTM, but the entire underlying concept behind the project, which extends to the utility of the DOTM and providing value to each project participant.

The DOTM NFTs will not only be AAA-rated in-game character assets, which will be playable within NetVRk and other Unreal Engine enabled metaverses, but there are other gaming related utilities brought by the DOTM NFTs, in addition to those holding DOTM NFTs being entitled to receive $SNFT, the Sparkles DAO governance token, in the future.

(An in-depth analysis of $SNFT, including comprehensive information on the tokenomics and its application as a DAO governance token, will be released in Sparkles’ whitepaper in due course.)

Beyond the DOTM Concept Art

Following on from the success of the DOTM Collectors’ Edition: Concept Art series, there is one more scheduled additional FTSO related reward to be dropped to delegators locked in from epochs 44 to 47, after which the present structured rewards program for those delegating to Sparkles FTSO for 4 consecutive epochs will be phased out after epoch 47.

Beyond this, focus will be on preparing for the conclusion of observation mode in anticipation of Flare mainnet being live, and the continued support of ecosystem growth through the provision of key infrastructure across the network.

Whilst the structured NFT rewards program is being phased out on Songbird, there is always the possibility that similar NFT rewards programs may be run on Flare and/or in conjunction with our ongoing commitment to bringing more value to the Sparkles Genesis community.

Even though the structured NFT rewards program has come to an end, community members are still more than welcome to continue delegating to Sparkles to receive the obligatory delegation rewards, or purely to show support to Sparkles by delegating your votes.

We would like to take this opportunity to thank everyone who has supported Sparkles so far, and going forward. We are extremely excited to continue this epic technological journey together.

See you all in the metaverse real soon!✨

About Sparkles

Sparkles is the largest open NFT marketplace on the Flare and Songbird Network.
Website | Twitter | Instagram | Medium | Discord

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