Starting 4th of November, all Binancians would be able to take advantage of the DOT SLOT AUCTION.
It had been initially announced on the Binance announcement blog that the world’s best and most secure crypto platform- Binance would be supporting the DOT Slot Auction and here is the best opportunity to join the Polkadot Army.
What is the Binance DOT Slot Auction; what benefits does it hold out to participants and what steps are required to join this opportunity?
Read this article to the end and you will get the best answers to your questions.
Let’s start with the first question.
What is Binance’s DOT Slot Auction?
Similar to the concepts of staking BNB or the BNB Vault and receiving rewards in addition to launchpad on Binance, the DOT Slot Auction carries the same concept with a little bit of a twist to it.
The DOT SLOT AUCTION is a staking activity that affords every HODLer of DOT (Polkadot) to stake their DOT holdings in the Polkadot ecosystem and earn tokens of new projects in return.
Now here is the twist….The tokens to be earned are chosen from an auction- the tokens distributed are from the voted winner from any of the exciting and innovative projects on the Polkadot blockchain . That’s where the word Auction sets in; because the best project as calculated from the highest voted for is supported.
Lets answer the second question.
What are the benefits of participating or joining the Binance DOT Auction?
The fact that Binance supports it, is a great opportunity for all Binancians to participate in this activity that ordinarily is scheduled for the Polkadot ecosystem and would require participants to connect to the DOT ecosystem.
All DOT holders on the Binance Exchange can stress-freely participate in this crypto investment prospect with Binance interfacing and removing all the stress of joining the DOT ecosystem.
Binance intermediates with the Polkadot ecosystem; shouldering the responsibility of holding the proof of stake(POS) and distribution of the earned tokens.
Now let’s answer the third and final question.
What are the steps to participate in the Binance DOT Slot Auction?
Before we go to the steps involved to participate, let’s outline the stages involved in this beautiful staking opportunity.
There are basically four stages as seen in the picture below:
As highlighted in the picture there are four stages and the picture explains each stage..
● Warm-Up Period Stage
Like the name implies this is a 7-days period before the event starts. More like a warm up Period to prepare everyone for the staking event allowing all interested to join by staking their DOT and earning rewards based on the voting power calculated by the no of tokens staked.
● Crowd Loan Period Stage
This is the period users stake their DOT and vote their favourite project in a 5 round Auction
● Reward Distribution Stage
This is when the 100% rewards are distributed to the stakers whom their project won the auction and their staked assets is locked for the period agreed by the project. (Usually 1 -2years)
● Auction Results Stage
This is a 45days period timeline that Binance can convert the staked DOT to a tokenized asset BDOT in a ratio of 1:1. Owners can trade their BDOT if they wish to.
Now let’s go to the steps to join which are very simple.
First you would need to have a verified Binance account. Create one using this link: Click here for link and verify immediately with any of the accepted ID details.
Next you would need to buy DOT using P2P or a Credit Card. You cam also trade or swap any of your tokens to DOT or simply click this straight link to buy DOT: Click here for link
If you’ve met these stated requirements, stake your DOT on Binance – DOT Slot Auction using the Binance Earn option accessible on the Home page by clicking Binance Earn or click this direct link below: Click here for link
After staking, vote for your favorite project and make sure to DYOR before staking, so as to choose the best project that will win.
If you are fortunate that the project you voted for wins the auction by having the most amount of staked DOT during a random snapshot, you’ll receive a share of the new project’s tokens calculated by a metrics that takes into cognisance of the total no of DOT staked on the project, the total no of tokens to be shared, and your own DOT staking contribution.
Kindly note that the info given here in this article stands as my personal opinion and you are extremely advised to do your own research before going ahead to stake DOT in the Slot Auction.
I would welcome your comments and questions in the chat box and I promise to give each question or comment the best attention and if you would like to read more about the Polkadot ecosystem; check out this article: Click here for link