Background on Fluence

Fluence is a decentralized serverless platform and computing marketplace powered by blockchain technology. It offers a global, permissionless, scalable, and secure alternative to centralized cloud computing services. At the core of Fluence is the $FLT token, which serves as both a collateral mechanism and a financial incentive for service providers. These providers earn $FLT and often stablecoins as compensation for serving applications on the network.

Providers are constantly seeking additional collateral to expand their operations, while stakers must carefully consider where to allocate their capital to maximize returns by sharing in the revenue and rewards generated by these providers. However, this dynamic presents several challenges. Stakers are exposed to the unique risks associated with individual providers, and providers may struggle to consistently attract sufficient collateral to sustain their growth.

Parasail aims to address these challenges by offering solutions that enhance liquidity, risk mitigation, and ease of staking within the Fluence ecosystem.

For more information on Fluence, head over to the Fluence Documentation.