Flare Networks has released a “Further Information on The Spark Token Distribution” report. The statement intended to provide further precision around the Spark token distribution mechanism.
This blog post lays out the rationale for the distribution structure. https://t.co/ivuOpEeJYJ
— Flare (@FlareNetworks) June 19, 2021
Flare Networks has released the final details of the Spark Token (FLR) distribution
According to the most recent distribution scheme, Flare is creating 100 billion Spark tokens at the outset of the network. And how these are distributed and when they become available.
The claim formula below sets out the amount of Spark that an individual XRP holder can expect to receive in total. According to the most recent distribution plan, an initial 100 Billion Spark Tokens (FLR) will be minted once the network is launched. Of this amount, 45 Billion Spark Tokens (FLR) will be distributed to XRP holders who participated in last year’s snapshot using the following formula.
- Spark claimable: The amount of Spark claimable by an XRP address.
- XRP owned: The amount of XRP in the XRP address at the time of the snapshot.
- XRP total: The total amount of XRP in existence at the snapshot date.
- XRP Ripple: The XRP held in Ripple-related accounts at the time of the snapshot including escrowed balances.
- XRP NPE: The XRP held by non-participating exchanges at the snapshot date.
Unlike Ripple Inc and the nonparticipating exchanges, the Spark balances that would have gone to these excluded participants are instead to be placed in a reward pool to incentivize the minting of F-Assets starting with FXRP.
About “Individual Whale Cap”, a 1 billion XRP cap is set on any group of XRP accounts known to belong to the same individual. This means that such an individual may claim Spark using 1 billion XRP but no more.
This amount is termed the Whale cap. The Spark that these Whales could have claimed with their XRP, above the capped amount, is also put into the incentive pool for minting FXRP. For the purposes of the distribution, any accounts that receive XRP from these capped accounts from the publication of this post until 12/12/20 will have this amount of XRP deducted from the amount of XRP that they may claim Spark with.
The report stated:
“At network launch, each account that has claimed Spark will receive 15% of the total Spark for which they are eligible. This is 15% of the Spark claimable term in the equation above. The remaining Spark claimable will be distributed over a minimum of 25 months and a maximum of 34 months.”
Flare Network is a new way to scale networks that don’t support smart contracts. Flare allows XRP to be used with smart contracts in a trustless way.
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