Overview of the IOST Node Partner Program
The IOST blockchain project launched its Node Partner Program globally in late 2018, aiming to build a decentralized, community-driven ecosystem. Through incentive mechanisms, the program encourages community members to actively participate in network maintenance, ecosystem development, and governance, thereby becoming contributors, maintainers, and beneficiaries of the IOST ecosystem.
Node Types and Responsibilities
There are two main types of nodes in the IOST network, each with different responsibilities and corresponding reward mechanisms:
- Servi Nodes (Block Producers): These nodes are full nodes of the IOST network, responsible for storing the complete transaction history, producing new blocks, and validating transactions. They require high technical knowledge and server maintenance capabilities, serving as the core support for network operation.
- Partner Nodes: These nodes are primarily for non-technical users and do not directly participate in block production. They earn rewards through their contributions to the ecosystem and their share of votes, without requiring complex setup or server maintenance.
Reward Pool Composition and Distribution Basis
The IOST Node Partner Program's reward mechanism is complex, designed to fairly incentivize different types of contributions. In the early stages of the program, the annual total reward pool was set at 4% of the total IOST circulating supply, with half coming from the IOST Ecosystem Fund (ecosystem rewards) and the other half from token issuance (token issuance rewards).
The distribution of rewards is primarily based on three aspects:
- Block Production Rewards: Accounts for 25% of the total rewards, allocated exclusively to Servi Nodes to acknowledge their contribution to maintaining network operation and producing blocks. According to historical data, each block generates approximately 3.3 IOST in rewards.
- Voting Share Rewards: Accounts for 50% of the total rewards, available to both Servi Nodes and Partner Nodes. This portion of rewards is distributed proportionally based on the number of votes a node receives, reflecting community support for the node.
- Ecosystem Contribution Rewards: Accounts for 25% of the total rewards, distributed based on evaluation scores from the IOST Foundation. This portion of rewards aims to incentivize nodes' active contributions in areas such as technical development, community building, marketing, and DApp ecosystem expansion.
Reward Issuance Frequency and Claiming
IOST node rewards are issued at two frequencies: daily and quarterly:
- Daily Rewards: Primarily based on voting share and Servi Node block production rewards, calculated and distributed automatically every 24 hours.
- Quarterly Rewards: Primarily for ecosystem contribution rewards, evaluated and issued once per quarter.
It is important to note that rewards are not automatically deposited into the node partner's account; node partners need to manually activate the system contract to claim their rewards.
"Starlight Program" and Staking Mechanism Optimization
To further optimize the incentive mechanism, IOST launched the "Starlight Program" in Q4 2020. This program aims to incentivize more outstanding partners and adjusted the evaluation rules for contribution rewards, eliminating the requirement for submitting quarterly contribution reports and hierarchical rankings among nodes. Reward amounts are determined by contribution level, decided by the IOST Rating Committee, with an annual total reward pool cap of 420 million IOST. Rewards are typically distributed within 30 business days after the final rating results are announced. Partners are required to submit quarterly cooperation plans and bi-weekly progress reports.
Additionally, IOST implemented Staking Mechanism 4.0 on July 1, 2020, transferring a portion of contribution rewards previously distributed by votes to the portion distributed by ratings. This aims to provide more incentives for truly contributing nodes while ensuring that voter benefits remain unaffected.
Key Participants and Voter Benefits
The IOST Node Partner Program involves several key participants:
- IOST Foundation: Responsible for formulating and adjusting reward rules, evaluating node contributions, and managing the ecosystem fund.
- IOST Node Partners: Including media, exchanges, technical teams, DApp development teams, community builders, etc., who earn rewards through contributions and votes received.
- Voters: Ordinary users can stake IOST to vote for their supported node partners. Voters can share 50% of the node rewards (excluding block production rewards) and receive daily GAS rewards. Voter rewards are distributed proportionally after the node claims its rewards. According to historical data, as of October 2020, the IOST mainnet staking volume once exceeded 4.4 billion IOST, accounting for 26.43% of the circulating supply at that time.
- IOST Rating Committee: Responsible for evaluating node contributions and determining specific reward amounts under the "Starlight Program."
The minimum votes to become a Partner Node were once set at 2.1 million IOST, while the minimum votes to become a Block Producer (Servi Node) were once set at 10 million IOST. After voters cancel their votes, they must wait 7 days to redeem their IOST, and no rewards are generated during the redemption period.
IOST Token Trading Channels
IOST tokens can be traded on exchanges that support the coin. Currently, users can find IOST trading pairs on mainstream cryptocurrency exchanges such as Upbit, Binance, OKX, HTX, and Gate.
The platform information mentioned in the article changes with the listing and delisting dynamics of various exchanges. Please refer to the official announcements of the exchanges.
