ℹ️
Karrier One FAQ
Karrier One FAQ
Karrier One FAQ
  • Welcome
  • Introduction
    • Karrier One
      • Network summary
      • Centralized vs Decentralized telecom
      • Why do we use blockchain?
      • Karrier One & Competitors
      • Remote community solutions
      • Data Protection
  • Token FAQ
    • Blockchain
      • Selection of blockchain
      • Use of smart contracts
      • Building on Karrier One
    • Tokenomics
      • The KONE DAO
      • What is the KONE token?
      • How will KONE be used on the network?
      • Token distribution
      • Inflationary metrics
      • Your KONE Wallet
  • Network FAQ
    • Node Information
      • What is a Foundational Node?
      • What is a Gatekeeper Node?
      • What is an Operator Node?
      • How are rewards distributed?
      • Quality of Nodes
    • KNS / Digital Identity
    • Users on the Network
    • Spectrum & Band 53
  • Support
    • How can I contact support?
    • How can I purchase KONE?
    • Keeping your Crypto Secure
    • Karrier One Radios
      • Are radios refundable?
      • What radios are available for purchase?
      • Radio installation
      • Which regions are available for deployment?
      • How do I optimize my radio's performance and earn rewards?
  • Developers
    • Karrier One API
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  • Foundation Nodes Rewards
  • Gatekeeper Nodes Rewards
  • Operator Nodes Rewards
  1. Network FAQ
  2. Node Information

How are rewards distributed?

Foundation Nodes Rewards

Foundation Nodes play a crucial role in the network and are consequently compensated accordingly for the services they offer. Here is how the reward system works for them:

  • Service Rewards: When a user utilizes a service provided by the node operators, several nodes may be involved. For instance, in the case of a telephone call where Foundation Nodes facilitate call routing, the origin node and the destination node are key players. These two nodes undertake additional tasks such as voice encoding and decoding. Hence, all nodes involved will receive equal rewards from the transaction fee derived from the user's service consumption, except these two key nodes, which will receive a higher reward due to their increased workload.

  • Block Production Rewards: Block production rewards comprise a fixed amount of KONE tokens, which are deducted from the total service fees included in the block.

For other types of services offered on the network, the reward system remains the same; the rewards are distributed among the nodes selected to execute the service. Additional rewards are allocated to those nodes performing a more significant workload.

Gatekeeper Nodes Rewards

Gatekeeper Node rewards are distributed using the KONE token. Like Foundation Nodes, these rewards are disseminated to the Gatekeeper Nodes in proportion to the service provided by each node in the delivery of the service.

  • Service Rewards: If a village node has provided mobile to its users, there may be a large Gatekeeper Node in a nearby town and multiple mesh Gatekeeper Nodes between the village and town cooperating to deliver the service. Each node earns a share of the rewards according to their role in service delivery.

  • Initial Gatekeeper Rewards: A designated 8% of the overall KONE supply is reserved specifically for initial Gatekeeper Rewards. This arrangement is meant to stimulate the deployment of Gatekeeper nodes during the early stages of the network. The amount of KONE allocated to Gatekeepers is a fixed sum, determined by The KONE DAO, and it's based on various factors, such as the type of radio and the area of deployment.

In-depth revenue diagrams for Gatekeeper Nodes can be found on our Whitepaper.

Operator Nodes Rewards

Operator Nodes accumulate rewards corresponding to the volume of traffic handled by the node. These rewards are allocated using the local stable currency, in compliance with the regulations of the country where the node is situated.

  • Traffic Volume Rewards: The node's rewards are proportional to the volume of traffic it handles. These rewards are given in the local stable currency in line with the country's regulations where the node is based.

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Last updated 1 year ago