Validator Rewards

Following the launch of the SOLeague mainnet, Node Box holders have the opportunity to elevate their participation by becoming full-fledged validators. This transition is not merely an upgrade in role but a crucial step in decentralizing the SOLeague network. Validators are essential for the blockchain's functionality, as they validate transactions, produce new blocks, and ensure the network remains decentralized and secure.

Node Box holders will need to set up and maintain their nodes. This involves running the Node Box software, ensuring it meets the necessary technical specifications, and keeping it online and synchronized with the network. Nodes must be reliable and secure, with robust hardware and a stable internet connection to prevent downtime and ensure continuous participation in the consensus process. The number of Node Boxes a user owns directly impacts their influence and rewards within the network. Each Node Box represents a portion of the validator's stake, and the combined stake of all their Node Boxes determines their share of the validation rewards. This mechanism ensures that validators are sufficiently invested in the network’s success, aligning their incentives with the overall health and performance of the blockchain.

Validator rewards in the SOLeague network are distributed based on the number of Node Boxes owned and activated by each validator. The rewards are allocated from the network’s transaction fees and block rewards, providing a continuous and substantial source of income for validators. The distribution formula takes into account the total number of active validators and their respective Node Boxes, ensuring a fair and proportional allocation of rewards.

The rewards are calculated based on the proportion of the total Node Boxes each validator holds.

-> For example, if a validator holds 10% of the total Node Boxes, they would receive 10% of the available validator rewards for that period. This proportional distribution ensures fairness and motivates validators to increase their stakes. Rewards are typically distributed at regular intervals (daily or weekly) to provide validators with a steady income stream. In addition to the basic rewards, there will be performance-based incentives that reward validators for maintaining high uptime, efficiently validating transactions, and contributing positively to network stability. These incentives further align the validators' actions with the network's needs.