Community

Everything you need to know about the Ontology Foundation New Bonus Rules

Ontology Gas | 01.21| 95

Everything you Need to Know about the Ontology Foundation new Bonus Rules

As announced on Ontology’s Telegram announcements channel and Twitter on January 7th, 2020, the Ontology Foundation bonus rules will be updated from this coming February. Bonus rules for December 2019 and January 2020 will remain unchanged.

With this update, the nodes bonuses will be more balanced and nodes with better services and ratios shall receive more staking from users.

The proposed new rules are:

1) Based on the total effective ONT amounts, ONG bonus will be shared evenly amongst each staked ONT.
2) The bonus will be distributed to the top 49 nodes, and nodes will share the bonuses to their stakers according to the ratio they set.

Other than this change, all the staking rules will be the same as before (For previous rules, please refer to OWallet Staking FAQ).

What are the main reasons behind this change?

This change is made on the basis of:

  1. the needs of the long-term community and ecosystem development
  2. the needs of the fair competition of PoS

If we continue to adopt the old model, most users will choose consensus nodes or official nodes, which does no good for the long-term development of the community.

Under the premise of guaranteeing the fairness of staking for users under the need model, the service charges, community capability, and service level are becoming more important.

Users can easily switch to a node that has better services and ratios without reducing the bonus amount received.

Besides, it is not very reasonable for nodes that rank around 36 to 49 which do not have many contributions to the ecosystem with a relatively small staking amount to receive the same amount as those nodes who contribute more in an active manner.

What has remained unchanged:

1. The existing consensus node model.

2. 10 million ONG is distributed annually for three years to the top 49 nodes.

3. The Foundation bonus will still be distributed to the top 49 nodes.

4. The network fees will be rewarded to all consensus nodes (50%) and candidate nodes (50%). (Read more about the Economic Model Design of the Triones Consensus System.)

What has been changed:

The Foundation bonus will be shared evenly amongst each staked ONT instead evenly amongst all candidate nodes.

Others things you need to know:

  1. The top 49 nodes will decide how much proportion of bonus they would like to share with their stakers. We are not able to control or manage nodes' behavior on setting up the ratio for the usual transaction bonuses sharing.
  2. In terms of the 37,500,000 ONT staked by the Ontology team in 2019, it will still receive the Foundation bonus but the received amount will be returned back to the bonus pool immediately. In other words, the staked 37,500,000 will not keep any of the Foundation Bonuses received, which will enlarge the remained bonus pool.

Find Ontology elsewhere

Ontology website / Ontology GitHub / ONTO website / OWallet (GitHub)

Telegram (English)Discord

Twitter / Reddit / FacebookLinkedIn


Everything you need to know about the Ontology Foundation New Bonus Rules was originally published in OntologyNetwork on Medium, where people are continuing the conversation by highlighting and responding to this story.

Comment 0

delete

Are you sure you want to delete this post?