Second layer tokens Voting Power on Hive blockchain

Communities are ruling the Hive blockchain and they are pulling tremendous power over the network. They can influence everything around starting with their own ecosystem, but also on Hive blockchain in general. The way the system is here is that communities create their own secondary layer tokens which simply pile over the HIVE and HBD rewards and generate more revenue. This way every content creator earns more for focusing the work on the right audience. And as Hive is a Proof Of Stake blockchain and the rewards are given through the proportional Vote Power based on the staked currency it is quite important to understand the mechanics of this.

Each community from Hive blockchain has its secondary layer token. By staking this specific cryptocurrency you are getting Voting Power that can be used to upvote others and earn rewards from curation. More power, the bigger the upvote and the bigger reward get to the curator. But by doing so the Resource Credits of our account decrease over time in order not to abuse the system and ensure fair rewards distribution. Thus is important to keep an eye on the RC not only at Hive global level but also specific to communities.

LeoDex offers a view on the Voting Power of specific secondary layer tokens that can be checked at any time and used within optimal amounts. Once you enter the application, you simply click on the Rewards option in the header, and you are directed to the Rewards page listing all your tokens with specific attributes. We can see the token that we hold, the staked amount of that token, the pending rewards that we have for that token, and what's more important the Voting Power. We need to keep that over 80% to ensure optimal upvotes and good returns on the curation.

Having a single account for multiple communities might put us in a tough spot in regard to how the upvotes are distributed based on our staked tokens. To combat this situation we have the option of "Vote Weight Multiplier" which can be optimized based on the upvotes that we spread across communities: "if only 1/3 of posts you vote is using LEO or another specific secondary layer token, you may want to set the multiplier to 3."

Another approach taken by others is to have dedicated HIVE accounts specific to communities. This way you can separate the content for each of those (even if with a single account you could do that by using specific tags) and be focused on a single domain. For example, if you like Finace&Crypto, but also Photography maybe you don't want to make a salad from your posts but rather keep them separate and following a single thread of interest. Usually, I agree with this approach, but I find it hard from one point forward to manage more accounts. But at least you have all the options available and is up to you which one you are choosing.

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