A Permissionless Staking Protocol For Avalanche Subnets.
- 1.Subnets are Avalanche’s main scaling mechanism but aren’t realistic right now because of the cost and limitations of staking
- 2.Liquid staking is just a small part of the problem, and everyone is focused on that (leaving builders out to dry)
- 3.GoGoPool solves the problem of Subnet adoption with a permissionless staking protocol that combines liquid staking, decentralized hardware, and subnet compatibility. These three elements work together to trivialize the cost of staking + validating -- powering the growth of subnets, and the future of Avalanche
Thanks to Subnets, Avalanche promises to be a fast, low-cost, eco-friendly blockchain. Subnets let anyone build a blockchain without worrying about its infrastructure, getting Avalanche’s best features for free.
One example, DeFi Kingdoms, which is the most popular blockchain game running on the Harmony network, plans to launch an expansion. But, if they launch on Harmony, they face two main challenges. Firstly, the launch would be slow and costly for their users and require additional customization. Creating a Subnet on the Avalanche network will help them overcome these issues. It will allow them to take advantage of the network's fast transaction times and create a dedicated set of validators, resulting in a faster and more affordable experience for their users. Additionally, launching via subnets will enable DeFi Kingdoms to experiment with tokenomics, which means they can tie their blockchain's tokenomics directly to the game mechanics.
In short, Subnets power the explosive growth of Avalanche by allowing infinite horizontal scaling and rapid experimentation with new models and ideas.
But in reality, Subnets are expensive to start, grow, and manage, and continue to be held back by the cost and limitations of staking.
Subnets should ideally offer a streamlined launch and growth process, with a user-friendly one-click experience and minimal concern regarding validators, as the staking cost is kept low.
A handful of projects are focused on liquid staking as a way to lower the cost of staking on Avalanche, but they are focused on a small part of the problem. Having liquid staking will definitely help the ecosystem grow by providing liquidity, but does not lower the cost of validation for subnets. Entrepreneurs remain locked out of the next generation of opportunities, and Avalanche misses out on its next step function of growth.
We’re doing the hard thing, and building a permissionless staking protocol that has:
- 1.Decentralized hardware pools
- 2.Liquid staking
- 3.Subnet compatibility
Hardware operators join the protocol with 1000 AVAX, get matched with funds from liquid stakers, and begin validating the Avalanche Primary Network with the required 2000 AVAX (earning both staking and GGP community rewards). Stakers receive the benefit of liquid staking, getting a wrapped ggAVAX token and having instant liquidity while earning rewards in real time. Over time, the hardware operators in our protocol grows. When a subnet launches, they join our protocol by staking the GGP token and in return get access to the protocol’s validator marketplace. Subnets receive validators right away, eliminating their biggest upfront cost. Liquid stakers and subnets work together to incentivize hardware operators, lowering the cost of launching subnets further.
Subnets are a flywheel for our protocol - they do our best acquisition for us for free by incentivizing hardware operators to join, and we provide them with a liquidity pool and node operators to validate their subnet in exchange. This network effect at scale trivializes the cost of growing subnets for entrepreneurs, and leads to GoGoPool powering the explosive growth of Avalanche.