📈Return to Investment/Stake

ROI Of Staking with METAO

As such labor assists Metaoracle in securing the data/computation that customers require, participation as a Node Runner on the platform should be paid. Metaoracle gets increasingly decentralized as there are more node runners. It will be up to node runners (also known as validators) to reach a consensus and suggest data or computation to users.

The Metaoracle incentives mechanism is intended to encourage long-term growth since it increases the system's capacity to handle a wide range of use cases as additional node runners join. Node runners who join after a year can still get a sizable portion of the ecosystem incentives because they will be steadily rising each month. Early adopter incentives will be added in years 1-2, when ecosystem returns are still modest. The consumer fees ought to be high enough in years two through five to start paying feed suppliers.

At the end of each month, node runners collect customer fees that are supplemented by the rewards model by utilizing the formula below:

$$R_{i} = alog(m + 1) - C_{i}$$

where i is the ith node runner, a is a constant, m is the number of months since TGE, and C is the consumer fees earned by the ith node runner.

Additionally, to incentivize the adoption of Metaoracle early on and light the fire for mass adoption, Metaoracle will add a node runners 3 month apy on top of rewards earned by node runners if they stake early on and remained staked for at least 3 months. The return percentage depends on the month they join - 20% for the first 6 months, 15% for the subsequent 6 months and then 10% for the next 6 months. See initial distribution protocol for more info.

Return to investment mainly revolves around node runners expecting a return, over a certain period, to their stake. There are also those who delegate tokens to pools or operators of Nodes with large stakes to obtain a share of the rewards.