Staking Ecosystem & Token Mechanics

Pixels is introducing significant changes designed to align player and developer incentives within a decentralized publishing ecosystem. At its core, Pixels staking transforms the traditional validator model, turning games themselves into the primary "validators" of the ecosystem.

Key Changes:

• $PIXEL: Remains the primary governance and staking asset, allowing players to directly support individual games. When staking $PIXEL, players influence which games receive ecosystem incentives and determine how rewards are allocated based on each game's economic success.

• $vPIXEL: A spend-only token using ERC-20c technology, backed 1:1 by $PIXEL. This new token allows players to withdraw their rewards fee-free, significantly reducing selling pressure and encouraging in-ecosystem use.

How It Works:

• Players choose games to stake their $PIXEL tokens into, effectively voting for which games deserve ecosystem resources.

• Games compete for stakers by improving player retention, increasing net in-game spend, and effectively using ecosystem tools provided by Pixels.

• Rewards are distributed periodically, based on game-specific performance, encouraging healthy competition and ecosystem growth.

Strategic Goals:

• Optimize Return on Reward Spend (RORS): Encouraging competition among games to achieve higher efficiency in reward allocation.

• Sustainable Ecosystem Growth: Using data-driven insights from staked games to improve user acquisition strategies and overall network health.

• Decentralized Decision Making: Empowering stakers to directly influence ecosystem evolution through staking decisions and reward allocations.

These changes are foundational to establishing a robust, decentralized publishing model, positioning Pixels at the forefront of sustainable, data-driven gaming ecosystems.