✨Capacity
Learn about a key concept of starbeam.one's Digital Publishing Model
Capacity is a system-imposed limit for how much inventory you can issue. starbeam.one is in its starting stages, after all, and while we want to make it free for artists to sign up and publish their art, we must at the same ensure that this occurs in a somewhat controlled fashion. We do this by using capacity which is assigned to artists on a per-market basis.
Capacity works by limiting how much you can publish, but also in turn by demonstrating to the system how much you can publish. The more you publish, the more you are allowed to publish by the system as you get rewarded more capacity.
Capacity units are measured in Flares. When you publish a product, you consume capacity in the amount of price * quantity of licenses defined by the issuance. When you sell a license you regain that consumed capacity plus an award factor of 10%.
Example:
In the Standard Market, you get a starting capacity of 10. You issue 1 license at a price of 1 Flare, and now have a capacity of 9. You sell that license and now have a capacity of 10.1.
Initial Values
Every market has different starting values for capacity. Generally speaking, we give enough to publish ten products at the default prices. If you'd like, you can reduce your prices to have more issuances/products, and therefore a greater chance that one of them will sell.
Standard Market: 10
Featured Market: 50
Traditional Market: 200 (default price is 10 here, so putting a focus on human-based activities 👩👨)
Minimum Values
What happens when you run out of Capacity? You cannot issue any more licenses for sale in the marketplace. In order to do so, you will have to recall an existing issuance and release its capacity, then use the released capacity to make a new issuance.
(A sale, of course, will also release the utilized capacity as explained above)
Acquiring More Capacity
There are three ways to acquire capacity:
Earn it by Selling Licenses
Re-aquire it by Recalling Unsold Licenses
Rewarded by Purchasing Licenses from Other Artists
Earning Capacity by Selling Licenses
Capacity is consumed when licenses are issued and released when licenses are sold. When issuing new licenses it costs Capacity to do so. As mentioned, each publisher starts with 10x Capacity of default prices which means they can issue five products out to the marketplace with the default prices of the market. It is recommended that one product is released per day to maximize visibility on the front page.
When a sale is made, the amount of Capacity returned is equal to 1.1x (10% earnings) of the license's price in Flares.
For instance, for your first issuance where you issue 1 Standard Market license at 1 Flare (for a total of 1 Capacity reserved and taken from your Standard Market Capacity account), you will receive 1 Flare to your product's proceeds account and 1.1 Capacity units to your Standard Market Capacity account from the sale.
Reacquire Capacity by Recalling Unsold Licenses
You can recall unsold licenses and you will receive 90% of the capacity required to publish them. That means there is a 10% cost to utilized capacity recall unsold licenses. Find out more at Recall Inventory.
Buying Capacity
Capacity cannot be purchased directly. However, it is available as a reward by purchasing licenses from other artists on the marketplace. By purchasing licenses from another artist, you not only release their capacity back to them from the sale, but you yourself as a starbeam.one artist also gets rewarded with capacity for the same market in which the purchase is made.
You must purchase in the same market to receive the capacity to your designated market capacity account. For instance, purchasing a Standard Market license will reward you Standard Market capacity, and purchasing a Featured Market license will reward you Featured Market capacity.
Conditions
Two conditions must be met before you can be awarded more capacity:
You must provide at least a 10% network gratuity on the purchase
You must have less than 2x the default capacity of the market in which you are purchasing (discussed below in Limits)
Reward Value
When you purchase a license from a market, the price of the license before the network gratuity is applied to the purchase is the primary reward amount of capacity that you will receive. For instance, if you purchase a Standard Market license for 1.5 Flares, you will get 1.5 units of capacity to your Standard Market capacity account. As a further example, if you purchase a Featured Market license at 3 Flares, you will get 3 units of capacity added to your Featured Market capacity account.
Additional Reward Value
As mentioned in Conditions (above), you must provide at least 10% Network Gratuity on the purchase to qualify for the capacity reward. If you provide more than 10% Network Gratuity, you will be rewarded even more capacity in the form of an additional reward value.
Your purchase must include a network gratuity of 10% or more to qualify for the reward.
The additional reward amount is determined by removing 10% from the provided Network Gratuity to find the reward multiplier. The reward multiplier is then applied to the primary reward amount, resulting in a reward bonus. The reward bonus is then added to the primary reward amount for the total reward value.
As an example, if you purchase a Featured Market license at 4 Flares, with a 30% Network Gratuity, you would find the reward multiplier by removing 10% from the network gratuity, resulting in a reward multiplier of 20%. The 20% reward multiplier is applied to the primary reward amount of 4 capacity units, resulting in a reward bonus of .8 capacity units. This .8 units is then added to the 4 primary reward amount, for a total of 4.8 capacity units awarded to you the purchaser.
Limits
Note that the award mechanism is only good for the default price of the target market. Once your capacity account for this market reaches this limit, the reward system no longer applies. This is to reduce the potential abuse of this feature. Current limits per market are as follows:
Standard Market: 10 capacity units
Featured Market: 50 capacity units
Traditional Market: 200 capacity units
To reiterate: if your capacity amount is over the limits defined above, no reward will be provided for your purchases.
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