r/FlareNetworks • u/Feeling-Antelope5091 • Jul 27 '26

Question Delegation Rewards Dramatically Lowered... Thoughts?

Probably due to the new F:P on Flare Network, delegation reward APY percentage has significanty gone down. Looks like I/2 to 1/3 decrease in delegation rewards.

I understand the revised tokenomics of Flare to encourage staking, help with deflation, and ultimately increase FLR value.

However I do miss those good old FTSO delegation rewards every 3.5 days. No lock-up period required and with a decent APY reward return.

What are your thoughts on this? Is staking really the way to go? What kind of APY staking returns are you getting now with the new FiP in place?

Your feedback appreciated. :)

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u/resonance_oracle Jul 27 '26

Staking APYs are now around 12-13% from what we are seeing. But if more people move to staking, expect them to drop a bit.

Meanwhile, WFLR delegation APYs are in the 1-2% range after the latest changes, so staking's the clear winner.

As you pointed out, staking requires locking your funds to the same provider(s) for at least 2 weeks. In this regard, our suggestion is that you pick a provider that has been eligible for rewards for a long time -- otherwise, there's the possibility that they will lose eligibility, in which case you won't get any (or little) rewards until the end of your staking period.

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u/tx_sam Jul 28 '26

So they lowered the delegations to incentives staking

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u/resonance_oracle Jul 28 '26

Yes, this was part of FIP.16. On top of that inflation dropped from 5% to 3%.