Acquisition of Tokens
Last updated
Last updated
EMC provides token rewards for nodes, ecosystem developers, computing power transactions and staking.
The EMC ecosystem provides PoW+PoS rewards in the form of EMC tokens to three types of nodes, with a total reward of 100 million tokens, accounting for 10% of the total EMC supply.
In the EMC state machine, 43,200 blocks (approximately 24 hours) make up an epoch, and node rewards are calculated once per epoch. The first decay period consists of 3,888,000 blocks (approximately 90 days). During the initial period, the node reward for each epoch is 50,000 $EMC. After mining one decay period, the node reward decays to the total amount of the previous period multiplied by the decay factor df, where df is calculated as the ratio of the natural constant e to the value of . Every four decay periods, the duration of the next decay period doubles, indicating that the fifth decay period spans 7,776,000 blocks (roughly 180 days). This process continues until the total reward amount reaches 100 million tokens.
The formula is as follows:
e= （n ≥ 1，n ∈ N）
df(1)=1，df(n)=e/ （n ≥ 2，n ∈ N）
R(1)=4,500,000 $EMC
R(2)=R(1)*df(2)=4,500,000*(1+1/2)^2/3.1416=3,222,880.06 $EMC
R(3)=R(2)*df(3)=3,222,880.06*(1+1/3)^3/3.1416=2,431,697.03 $EMC
... ...
R(n)=R(n-1)*df(n)（n ≥ 2，n ∈ N）
r(n)≈R(n)/90（n ≥ 1，n ∈ N）
EMC's smart contracts are based on the allocation of computational units as rewards. The computational unit is known as "E," and its definition is as follows:
The credit obtained by a node upon completing a standard PoW task.
The standard proof-of-work algorithm is open source but may be updated from time to time with the advancement of hardware. Each update is initiated by EMC DAO through a voting process. The new standard algorithm must be open source, and if the voting results reach a majority, the new standard will be confirmed for use.
EMC distributes rewards based on the weight of each node's E value relative to the total network's E value, combined with the staking coefficient. The node reward is calculated as follows:
Node reward = Total node reward * (credit obtained by the current node for completing PoW * staking coefficient) / ∑ (credit obtained by all nodes for completing PoW * staking coefficient)
Staking coefficient = Staked amount of the current node / Total staked amount of nodes that have successfully passed PoW in the current round
Credit obtained by each validator node for completing one round of PoW = 200
Credit obtained by each smart router node for completing one round of PoW = 20
When computing power is added to the EMC network by applying for a new node, a broadcast is sent to the entire network. At the same time, the validator nodes send PoW requests to the new node. After reaching consensus, the smart contract writes the status bit into the state machine and adds the node ID of the computing power node to the whitelist, making the new node effective.
Credit obtained by each computing power node for completing one round of PoW = 10
The EMC ecosystem offers token rewards to developers, totaling 150 million tokens, representing 15% of the overall EMC supply. Developers can request rewards from the EMC DAO, and the content and token amounts in their applications will be voted by EMC community. If the voting turnout exceeds 50%, the developer will receive the reward.
The EMC DAO plans to provide user rewards for operating ecosystem projects, based on the number of daily active users (DAU) or related metrics. The specific rules will be voted on by the community, and if the voting result exceeds half of the votes, the smart contract will be executed for the reward.
Both parties participating in computing power transactions in the computing marketplace can receive rewards. The total amount of reward tokens is 200 million, accounting for 20% of the total EMC supply.
EMC applies a 20% transaction fee based on the traded computing power and subsequently rewards computing power dependent on a percentage P of the transaction fee. Initially, P is set at 100%. (The remaining part of transaction rewards after deducting transaction fees will be converted into EMC and burned.)
The decay period and settlement epoch for computing power transaction reward calculation aligns with those for the node reward calculation. Upon the official launch of the computing marketplace in the initial period, the reward constitutes 100% of the computing power transactions volume. As it progresses to the next decay period, P decays based on the ratio of the adjacent two terms in the Fibonacci sequence of the previous period. This process will continue until the total reward amount reaches 200 million tokens.
The rewards for both parties in a computing power transaction are distributed according to the decay factor df(n), where the computing power user receives a reward portion of df(n) and the computing power provider receives a reward portion of 1-df(n).
The formulas are as follows:
Reward for computing power user: Ru = M(tx)*20% * P(n) * df(n) (n ≥ 1, n ∈ N)
Reward for computing power provider: Rp = M(tx) *20%* P(n) * (1-df(n)) (n ≥ 1, n ∈ N)
For example: In the fourth decay period, user A purchased 50E computing power from node B at a contract price of 1000 $EMC. Then,
A's reward is: Ru ≈ 1000*20%*33.35%*0.667≈44.5 $EMC
B's reward is: Rp ≈ 1000*20%*33.35%*(1-0.667)≈22.2 $EMC
The final fund allocation is as follows:
A payment: 955.5 $EMC (1000-44.5)
B income: 822.2 $EMC (1000*(1-20%)+22.2)
Burned: 133.3 $EMC (1000*20%-44.5-22.2)
Token holders can participate in ecosystem governance and receive staking rewards by staking $EMC on the smart contract. The main form of governance is to initiate proposals and participate in voting, with the voting weight automatically calculated subordinate to the amount and duration of the tokens staked. The initial total reward is 20,000,000, making up 2% of the total supply of $EMC. 5% of the EMC treasury income will be allocated to the reward pool to incentivize long-term staking of $EMC by token holders. The staking reward will be paid along with your original staked amount when the staking period ends.
| Decay Period(n) | Decay Factor df(n) | P(n) |
|---|---|---|
| Staking Period (days) | APR (%) |
|---|---|
1
1
100%
2
1
100%
3
0.5
50%
4
0.667
33.35%
5
0.600
20.01%
6
0.625
12.51%
7
0.615
7.69%
8
0.619
4.76%
... ...
0.618
... ...
n
0.618
P(n-1)*0.618
30
2.70
90
3.15
180
3.60
360
4.80
720
5.70
1080
7.10
