Reward Distribution
This document explains how rewards are distributed within the Noderr ecosystem.
Sources of Rewards
- Protocol Fees: A percentage of the yield generated by the protocol's autonomous trading layer (ATS/ATE), an umbrella concept implemented on-chain by the ExecutionRouter, StrategyRegistry, and Base-Rate Governor (no standalone "engine" service).
- Transaction Fees: Fees from activity on the Noderr network.
Protocol Revenue Split
Protocol revenue is divided across four destinations:
- Node Operators: 40%
- Treasury Reserve: 35%
- Token Buybacks: 15% (burned)
- Development: 10%
The 40% Node Operators pool is distributed toward a tier-weighted share of that pool (node rewards are unfunded on testnet and none have been paid — no per-tier dollar figure applies yet). Node rewards are therefore a revenue-share, not a fixed per-tier APY ladder.
Distribution Formula
Rewards are distributed based on a formula that takes into account:
- Tier: The operator's node tier (Micro / Validator / Guardian / Oracle).
- Stake: The amount of NODR staked (Micro 0 / Validator 25,000 / Guardian 50,000 / Oracle 150,000 NODR).
- TrustFingerprint Score: The operator's reputation score (entry thresholds Validator 0.60 / Guardian 0.70 / Oracle 0.80; on a 0-10000 display scale).
Node rewards are a tier-weighted revenue-share, unfunded on testnet — no per-tier dollar figure applies yet.
Base-Rate Governor cap
The Base-Rate Governor materially governs distributions: it caps reward distributions at 35-45% of trailing four-quarter net revenue, subject to maintaining at least 75% liquid treasury. This keeps payouts solvent and revenue-backed rather than emissions-driven.
This document provides a high-level overview. For the detailed reward formula, please refer to the Noderr White Paper.