Appendix: Quadratic Voting

Example

Alice posts an amazing NFTweet to Stargaze.

Her post gets 4 upvotes:

  • Bob votes with 1 upvote = 1 CREDITS

  • Carol votes with 3 upvotes = 9 CREDITS

Protocol reward (quadratic inflation funding)

Voting pool = 10 CREDITS

Root sum = 1 vote (Bob) + 3 votes (Carol) = 4

Protocol reward = (root sum)^2 - voting pool = 16 - 10 = 6 STARS

Alice (creator) gets 50% of the total reward pool = 6 STARS * 0.5 = 3 STARS

Curators also get 50% (3 STARS) of the reward pool:

Bob gets (3/10) * 1 = 0.3 STARS

Carol gets (3/10) * 9 = 2.7 STARS

The resulting STARS reward is scaled by how many CREDITS the user voted with.

If a post only gets one upvote, no STARS are awarded. The more people vote, the more STARS are matched by the protocol for rewards.

Upvoting with > 1 CREDITS helps boost the post up in the feed, giving it more exposure and potential for more votes. Quadratic voting favors more users voting with 1 CREDITS than few whales voting with many CREDITS.

Note that in the actual protocol, rewards are scaled by the amount of inflation in each pool. Inflation is distributed on each block, based on how big the voting pool is.