How are rewards distributed on DecimalChain?

DecimalChain
2 min readFeb 9, 2021

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DecimalChain blockchain uses a DPoS mechanism or delegated share proof. This mechanism allows to provide quick verification of transactions at the expense of specialized participants of the network — validators. Validators perform all the necessary work to maintain the network, namely, their weight of steak confirm and write down all transactions in the blockchain and for this receive rewards in the form of new DEL coins.

Delegates who have tied their balance to the Validator help the latter to increase their steak, because the rewards from the blockchain are distributed to validators in proportion to the size of their combined with stake delegates.

In fact, it does not matter if the coins belong to validator or delegate in the stake, the network generates new coins and distributes them equally between each bonded coin. Validator only takes % from the income of each delegate who determines independently when creating his masternode — this is his earnings, so work honestly and properly, thereby attracting as many delegates as possible — the main interest of the Validator.

So, new DEL coins appeared in the network and were distributed equally for each bonded coin. The number of new coins appeared on each delegate’s active purse, which corresponds to the proportions of his steak at the Validator minus the fee.

The Validator received a reward according to the proportions of his personal stake and percentage from the income of each Delegator.

Become a Validator and part of DecimalChain or just bond your coins to any validator you like in the browser — validators section and extract DEL without any effort or cost.

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DecimalChain
DecimalChain

Written by DecimalChain

Explore, Build, Earn on the Decimal. Decimal helps communities to issue and manage blockchain assets.

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