Fluence Provider Compensation

Proposals
5

updated proposal:
This proposal initiates the distribution of tokens for foregone revenue to Fluence capacity providers actively reserving server capacity to the Fluence mainnet launch but unable to receive capacity rewards. A two-tier reward structure is proposed to make early providers whole:

  • A retroactive reward component to compensate eligible provider capacity in FLT, subject to a three months lockup period, for committed but unused capacity for the extended launch period from March 2024 through July 2024.
  • A retroactive reward component to compensate providers for operating and managing IPC validators
  • A proactive reward component that increases earned capacity rewards by 50% for the period August 1, 2024 through December 31, 2024 for a maximum of FLT 100,000 per eligible provider for the August 1, 2024 through December 31, 2024 period.

Eligible Providers

The following capacity providers have been active participants in the Fluence mainnet launch and are eligible for retroactive rewards for provided but uncompensated capacity as well as the support and operation of IPC validators:

  • PiKNiK, 1,200 cores, 1 validators
  • Nebula, 600 cores, 1 validators
  • Origin, 600 cores, 0 validators
  • Filmine, 1,200 cores, 1 validators
  • Vault32, 600 cores, 1 validators
  • Nextweb, 320 cores, 1 validator

Reward Periods

The retroactive reward period is for five (5) months covering the mainnet period March through July 2024.

The proactive reward period runs for five (5) months from August 1, 2024 through December 31, 2024.

Reward Structure

  • Each eligible core receives a retroactive reward off FLT 80 for the period of March - July 2024. Rewards are payable three months after the end of the compensation period on November 1, 2024.
  • Each eligible validator instance receives a retroactive reward of FLT 1,500 for the period of March - July 2-24. Rewards are payable three months after the end of the compensation period on November 1, 2024.
  • Each eligible provider receives a 50% bonus on their FLT capacity rewards for the period from August 1, 2024 through December 31, 2024. Rewards are capped at 100,000 FLT for the period and payable January 2, 2024.

Reward Allocation And Distribution Terms

  • The retroactive FLT awards amount to
    • 336,000 FLT for a total of 4,200 CUs at FLT 80/CU
      • PiKNiK : 1,200 cores x FLT 80 = FLT 96,000
      • Nebula : 600 cores x FLT 80 = FLT 48,000
      • Origin : 600 cores x FLT 80 = FLT 48,000
      • Filmine : 1,200 cores x FLT 80 = FLT 96,000
      • Vault32 : 600 cores x FLT 80 = FLT 48,000
      • Nextweb : 320 cores x FLT 80 = FLT 25,600
    • 5,000 FLT for a total of five (5) validators at FLT 1,000/validator
      • PiKNiK : 2 validators X FLT 1,000 = FLT 1,000
      • Nebula : 1 validators X FLT 1,000 = FLT 1,000
      • Filmine : 1 validators X FLT 1,000 = FLT 1,000
      • Vault32 : 1 validators X FLT 1,000 = FLT 1,000
      • Nextweb : 1 validators X FLT 1,000 = FLT 1,000

For a total of FLT 366,600.

Retroactive rewards are distributed on a per provider basis and distributed three months after the end of the accrual period. That is, individual provider payouts will occur on November 1, 2024.

The total proactive FLT award is limited to a maximum of 100,000 FLT per eligible provider for the entire period ranging from August 1, 2024 to December 31, 2024. The proactive reward is dispersed by the DAO as a lump sum to each eligible provider on January 15, 2025.

Reward Distribution Schedule

Retro Rewards

Period covered: March 1, 2024 through July 31, 2024

Purpose: Reimburse capacity launch partners for provided capacity unable to be used due to delays in marketplace as well as the operation of validators

Amount: 366,600 FLT

Distributed at: November 1, 2024

Proactive Rewards

Period covered: August 1, 2024 through December 31, 2024

Purpose: Augment retroactive rewards for lost rewards allocations with additional capacity commitment rewards

Amount: 600,000 FLT maximum

Distributed at: January 15, 2025