There are four types of rewards on Evmos:
- Transaction fees are distributed equally amongst active set validators in EVMOS, though the ability to accept any Cosmos-based token as a payment can be enabled in the future via governance. Application developers will also receive a percentage of all EVM transaction fees, split between the transaction’s validators and the Evmos dApp Store’s application developers.
- Inflationary rewards (Block Provision) are the percentage of EVMOS’s inflation distributed pro-rata to all active participants in the network. The planned inflation rate is 150% in Y1 up to 500% by Y4 .
- Proposer rewards are a bonus 1-5% reward for a validator successfully proposing a block in consensus, with the reward increasing based on the number of precommits included for the previous block.
- Usage incentives make up 25% of the block emissions as an additional incentive, including deferred gas rebates and liquidity mining, with additional incentives possible via governance.
Slashing is enabled on Evmos. If a validator does not behave as expected in the network, both the validator’s self-bonded stake and any delegators’ stake can be slashed, incentivizing delegators to stake their EVMOS to validators who operate safely.
There are a number of poor validator behaviors which result in slashing on Evmos:
- Double-signing: Signing two blocks at the same block height will lead to slashing on Evmos, though the punitive parameters for double-signing have not yet been defined.
- Downtime: A validator missing more than 95% of the preceding 10,000 blocks will result in a slashing of 0.01%.
- Unavailability: A validator being offline for a set number of blocks will lead to slashing, and if the validator passes an upper limit of missed blocks it will be unbonded and removed from the active set, though the parameters for unavailability have not yet been defined.
- Poor security resulting in malicious behavior: A validator’s total stake may still be slashed if it is the victim of a distributed denial of service (DDoS) attack, if its private key is compromised, or if its other poor behavior is similarly unintentional — highlighting the importance of choosing secure, highly-available participatory infrastructure.
It is expected that Evmos will implement Cosmos’ jailing parameters, with validators that have been slashed automatically entered into a jailing period before they are eligible to rejoin consensus. On Cosmos, this jailing period is currently 2 days, following which time the validator may submit an unjail transaction to rejoin the active set.
The Maximum Service Fee is the highest percentage that this validator’s Service Fee can ever be raised to, and the Maximum Service Fee Change is the most that the Service Fee can ever be changed in one day. While any Evmos validator can choose to adjust their Service Fee, these two parameters cannot be changed and dictate how that fee can be adjusted.
Coinbase Cloud charges a percentage service fee on all rewards earned by tokens delegated to our Evmos validator. The service fee is paid to Coinbase Cloud automatically by the protocol. You can withdraw your rewards from the protocol directly.
Updated 4 months ago