Beer market is here, we know it.
WE, small validators, cannot WAGMI if the costs are going up and the rewards are going down 1/10.
So, I’d like to introduce: subsidy rewards
Subsidy rewards are provided to cover the costs of running a validator node to ensure that anyone who has the technical skill and commitment to run a good reliable small validator node can do so.
The quantity of ONE provided will be continuously adjusted by Harmony to provide a USD-equivalent value to cover good node hosting and operation costs comfortably.
To begin with, we would expect this to be approximately $250 per month for full participation in [ consensus ]. As we expect that these incentivized nodes will be signing practically at 100%.
In the same way as block rewards , the quantity of subsidy ONE will be reduced by the penalty for missed participation in consensus. From a 100% signing to a 98% rate.
Moreover, as the shard1 could be the new GameFi shard, we need also a strong incentivation from Harmony so we can deliver with excellency as node runners, like failover features and high hw specs servers that we as a small validators cannot aford now if we don’t add more costs.
I look forward to hearing from you!