Staking and Rewards

Staking

The staking mechanism is a critical component of any DePIN because it incentivizes good behavior and penalizes bad behavior. It ensures that participants are aligned with the platform's objectives and motivated to provide optimal services. New node operators are required to stake $ATH before they can contribute resources to a Container. If a node operator is found deviating from quality control standards or disrupting the network, it’s at risk of having its stake slashed.

Rewards

Containers are rewarded in two different ways:

  • Readiness - Containers receive compensation for maintaining a state of high readiness and for providing standby services, e.g., PoC reward. 

  • Service - Additional rewards are given for the compute resources actively used by the end user, e.g., PoD and Service Fee rewards.

Last updated

#227: Staking and Rewards for New Cloud Host

Change request updated