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Kindred has recently made significant adjustments to the Klara NFT staking mechanism, with considerable impact. The main change is that users will no longer earn rewards if they stop staking, while those who continue to participate in staking will receive more generous returns.
This policy design is quite interesting. It seems that the project team aims to use a combination of incentives and screening to identify truly active participants within the ecosystem. In other words, they are employing economic means for community governance—users who keep investing are treated better, while those looking to exploit the system may become less favored.
Such adjustments typically directly affect the economic model and liquidity expectations of the $KIN token. For the project ecosystem, this is a pivotal turning point. Whether it is an optimization or a pitfall depends largely on the upcoming data performance.