Validator Staking (Kratos Mainnet) & Rewards

Posted by OneLedger on Apr 2, 2021 1:48:47 PM

 

Another day, another milestone achieved. This time we have launched the Validator Staking on the Kratos Mainnet. It is important to onboard the potential validators and get them familiarized with the staking methodologies. 

If you intend to run a Validator node for Mainnet (Kratos), please sign up here. This information is needed so that we can be in constant communication with you, should we need to go through any network upgrades. *You do not need to fill out the form if you are only Testing the Validator Staking on the Chronos Testnet, and do not intend to participate in Mainnet Validator Staking.

 

To run a Validator Node on the Kratos Mainnet, please follow the documentation given below:

  1. Kratos Tutorial - Running A Fullnode (watch video)
  2. Kratos Tutorial - How to get OLT to stake
  3. Kratos Tutorial - Validator staking (watch video)

If you need any help with setting up the Fullnode or any technical assistance, our Development team would be more than happy to assist you through the official OneLedger Development Channel.

 

Staking Rewards

 

To calculate the estimated Validator Staking rewards, please download the OneWallet.

 

 

We are introducing a unique Tier-based rewarding mechanism to encourage community participation and ensure the sustainability of the OneLedger network in the long-run.

 

The Tiers are identified as follows:

 

Number of Validators

Tier

1-16

1

17-32

2

33-64

3

 

The distribution of the estimated rewards is as follows:

 

*all staking and reward numbers are given in OLT. We have estimated a fixed number of validators and tokens staked for each year. In reality, these numbers could be higher or lower.

 

Validators

Tiers

Staking Amount (per Validator)

Minimum Annual Return

Total Distribution

Validator Revenue

Max annual allocation per year

16

Tier 1

3,000,000

20%

9,600,000

600,000

70m (Year 1)

32

Tier 2

3,000,000

20%

19,200,000

600,000

70m (Year 2)

64

Tier 3

3,000,000

20%

38,400,000

600,000

40m (Year 3)

64

Tier 3

3,000,000

20%

38,400,000

600,000

40m (Year 4)

64

Tier 3

3,000,000

20%

38,400,000

600,000

30m (Year 5)

64

Tier 3

3,000,000

15%

28,800,000

450,000

30m per year until all rewards distributed (Year x)

Table 1: Distribution of Rewards

 

A couple of things to keep in mind regarding the table above:

 

  1. The above numbers are based on the assumption that each Validator will host an equivalent of 3 million OLT. Actual rewards may differ based on the number of tokens staked.
  2. You may want to keep the Tiers in mind as we move forward explaining a scenario

Now, let's explain the details through a scenario.

 

Scenario

 

Tom is a Validator. He stakes 3m tokens into the OneLedger network during Year 1. The amount of rewards generated for Tom would be as follows:

 

OLT Staked by Tom

Total Number of Validators

Tier

Total Distribution for that Tier

Tom's Return

Annual Return

3,000,000

16

Tier 1

9,600,000

600,000

20%

3,000,000

8

Tier 1

9,600,000

1,200,000

40%

3,000,000

32

Tier 2

19,200,000

600,000

20%

3,000,000

17

Tier 2

19,200,000

1,129,411.76

37.64%

3,000,000

64

Tier 3

38,400,000

600,000

20%

3,000,000

40

Tier 3

38,400,000

960,000

32%

Table 2: Rewards distributed to Tom

 

As you may notice, the minimum ROI Tom earns during a specific time period is 20% (based on the first 5 years as per Table 1), with a potential to earn higher depending on the number of Validators in the network and the Total Distribution for that Tier.

 

 

Tokenomics

 

Full details regarding the OneLedger Tokenomics model can be found here.

 

We would like to thank you all for the participation. If you have any questions/concerns, feel free to reach out to our Development team on the OneLedger Development Telegram Channel.

Tags: TECH, ALL