Compound Loyalty Curves
Ownership • Legacy • Access Control • Sovereignty
stacked reward models tied to engagement duration
Compound Loyalty Curves are time-based systems that layer multiple incentives—such as yield, access, governance power, or unlocks—based on how long a user stays committed to a protocol. These curves compound benefits over time, creating nonlinear growth in privileges for users who continuously engage without resetting. The result is a powerful flywheel where loyalty unlocks exponential utility, not just proportional rewards.
Use Case: A staking platform begins users at base APR, but activates bonus multipliers, governance rights, and exclusive vaults at 30, 60, and 120 days. Each layer compounds on the previous, creating a curve where deeper loyalty unlocks disproportionately greater benefits—making exit decisions more difficult over time.
Key Concepts:
- Reward Multipliers — Increased yield rates based on holding or staking streaks
- Access Maturity Curves — Functional unlocks tied to time-based milestones
- Layered Utility — Progressive benefit stacking based on user loyalty
- Reset Penalty Systems — Full progress loss if streak is broken or loyalty lapses
Summary: Compound Loyalty Curves transform long-term protocol use into an exponential-value experience. By aligning user behavior with duration, they build economic gravity—rewarding depth over speed and creating a structured ecosystem where trust, time, and performance are all compounding forces.