The prominent DeFi platform LiNEAR Protocol has recently declared the release of the algorithm dealing with its exclusive project. The comprehensively safe solution for liquid staking is releasing the Automatic Validator Selection Optimization algorithm. The latest innovative algorithm is structured to dedicate the NEAR tokens staked by the consumers to qualified validators.
LiNEAR Protocol Releases Unique Automatic Validator Selection Optimization Algorithm
In doing so, there would be no need for any manual intervention. The company disclosed this development in a blog post shared by it on Medium. The company noted that the algorithm is unique. As per the platform, the algorithm sustainably optimizes the yield for the consumers thereof. In addition to this, the respective algorithm also improves the security of the protocol. Moreover, the firm added, it enhances the decentralization of the NEAR network.
NEAR Protocol has a significant position within the market with a total value locked of more than 11M NEAR tokens. Optimizing the validator selection in the case of a protocol dealing with liquid staking counts as a difficult thing. In this respect, diverse teams operating at NEAR Protocol have made constant manual attempts to enhance sustainable yield, maintain stability, as well as guarantee decentralization.
Additionally, these teams manually choose as well as modify the validators for staking. At the moment, LiNEAR Protocol is credited for staking to nearly sixty-nine validators. The latest launch plays an important role. The Automatic Validator Selection Optimization algorithm enables LiNEAR Protocol to broaden up the validator lists to nearly two hundred active validators.
The protocol will additionally have the capability of automatically allocating NEAR tokens based on the on-chain performance thereof. The respective innovative project will substantially elevate the validators’ number. This will further enhance the NEAR Protocol’s security and decentralization. Apart from that, the algorithm permits the LiNEAR Protocol to choose as well as administer the performance of the validators in line with the diverse pre-set metrics.
The Algorithm Offers Additional Transparency and Fairness
This means that LiNEAR Protocol will specify additional stakes for validators with a fine performance. At present, LiNEAR Protocol generates an APY of approximately 9.42% for the consumers thereof. The new algorithm focuses on providing equality and more transparency to the NEAR network. If a validator provides better performance, a smaller stake, and lower fees, it will have the ability to get additional delegated NEAR tokens from LiNEAR Protocol.
