Incentivizing Digital Integrity
Creating a system for tokenizing authenticity and permissionlessness.
The role of tokenomics in the Sonr ecosystem is twofold: it provides a medium of exchange and serves as a reward mechanism for validators. The platform's native tokens are used to facilitate transactions, secure network integrity, and incentivize behaviors that contribute to the network's longevity and reliability.
Validators play a pivotal role in the network, responsible for processing authentication requests and maintaining the blockchain's integrity. They are incentivized through a task claiming process based on a first-come-first-serve mechanism and are remunerated via transaction fees and token rewards. This incentive structure ensures the high performance and reliability of services within the network.
Validator Incentives
Task Claiming
Validators select tasks from the Order Stack on a first-come-first-serve basis, ensuring a fair and efficient distribution of work.
Delivery and Payment
If a validator successfully delivers a service request, they proceed to the payment process. The payment is provided with a vesting schedule, aligning the validators' incentives with the long-term health of the network.
Slashing Conditions
In instances where a validator fails to deliver on a service request, a slashing condition is triggered. This condition serves as a deterrent against poor performance and ensures the reliability of services within the network.
Consequences of Failure
Failure to deliver a service results in the slashing and burning of the validator's staked SNR tokens. This punitive measure reinforces the commitment of validators to fulfill their tasks diligently and efficiently.