The Matrix AI Network now supports Verification Masternode Pools!
In addition to introducing fixed and flexible stakes, the Matrix AI Network is launching joint mining — aka Verification Masternode Pools — alongside its June 25th update. This article serves to introduce and explain Matrix Joint Mining in detail.
There are two primary roles as it pertains to Joint Mining: the creator and the pool participants. Creators deploy the Verification Masternode and manage all equipment. Participants contribute stake to increase the strength of the Verification Masternodes. Participants do not need to manage or contribute hardware.
Creators Requirements and Responsibilities
1. A minimum of 100,000 MAN tokens to deploy the Verification Masternode through the Matrix Web Wallet;
2. Sufficient hardware to run a Verification Masternode;
3. When deploying a Verification Masternode Pool, creators need to set a “management fee.” Participants must pay this management fee to the pool creator. The management fee is the percentage of rewards that each participant but cede to the creator. For example, a 1% management fee means that each participant must give 1% of their portion of the block rewards to the creator.
Participants Requirements and Responsibilities
1. Choose the mining pool you want to join in the Matrix web wallet. Participants can view each pool’s estimated ROI and management fee prior to joining;
2. Participants must contribute stake. They do not need to provide hardware;
3. Participants must stake at minimum of 2000 MAN tokens (fixed stake) OR 100 MAN tokens (flexible stake).
1. Rewards are automatically split between the creator and participants on the basis of each person’s stake. The more tokens you stake, the larger portion of the rewards you will receive. The specific formula is as follows:
2. The actual rewards received by the creators are subject to a “management fee.” The creator receives the management fee. The participants pay the management fee. The specific formula is as follows:
Management fee: The management fee is set by the creator of the Verification Masternode Pool. It refers to the fee charged by the creator to the participants for maintaining and operating the pool. It must be determined when deploying the Verification Masternode and cannot be changed. It is written as a percentage. A 1% management fee means that each participant must pay the creator 1% of their Individual Portion of Rewards.
Things to Note
Unstaking and Refunding Stake
Verification Masternode Pool creators and participants stakes are subject to the same rules as individual Masternode stakes. If you have a flexible stake, you must wait 7 days after unstaking before transferring the funds to your account. If you have a fixed stake, the staked tokens will reach the refund account within 2 hours after the expiration of your selected lockup period.
If the creator of the Verification Masternode Pool unstakes, each participants’ stake will be refunded to their accounts according to the rules mentioned above. A participant’s fixed stake will remain staked until the expiration of their lockup period even if the creator closes the pool. As such, it is strongly recommended to use flexible stakes when joining a Verification Masternode Pool unless you are sure you can trust the creator.
Verification Masternode Pools are subject to the same rules as individual masternodes. If the Verification Masternode Pool fails to conduct its verification tasks, it will be forced to forfeit selection opportunities. A punished Verification Masternode Pool will be eligible for selection after forfeiting 10 selection opportunities.
An update regarding Early Verification Masternode Incentives
The Matrix AI Network had previously committed to rewarding the first 100 people to stake Verification Masternodes and remain online for 100,000 blocks with 2,000 MAN tokens each. This reward had been delayed as there had yet to be 100 Verification Masternodes to reach this threshold.
Considering that this reward was originally designed to encourage early adopters — and after consulting with the Matrix AI Network community — the Matrix team has decided to issue this reward on June 28th, 2019. Those Verification Masternodes who have reached the 100,000 block threshold by this date will receive the reward.
In addition to this previously announced reward, the Matrix team has also decided to grant these early Verification Masternodes an additional reward: special entry into a Matrix-managed Verification Pool.
A combined 350,000 MAN tokens will be used to pay out these two rewards.
Early Verification Masternode Incentives
As per the original announcement, the Matrix AI Network will send 2000 MAN tokens to the Verification Masternodes who have remained online for 100,000 blocks. This reward will be send on June 28th, 2019. The Matrix team estimates that over 90 Verification Masternodes will have reached the 100,000 block threshold by June 28th.
Matrix-managed Verification Pool
The Matrix team will deploy a Verification Masternode Pool. As the Matrix team will manage the hardware, they will technically be the creator. However, there will be no management fee and the Matrix team will not take any of the creator’s portion of rewards. Instead, this pool’s creator rewards will be given to those early Verification Masternodes who decide to join the pool. These rewards will be given to early Verification Masternodes on the basis of their stake and will be paid out every 50,400 blocks (approximately every 7 days).
Anyone and everyone can join this pool. However, only the early Verification Masternodes will share this pool’s creator rewards.
Matrix-managed Verification Pool Details
● When: Beginning June 28th, 2019 (Beijing time)
● Creator Stake: 350,000 — Early Verification Masternode Incentives. Estimated >150,000 MAN
● Creator Stake: Fixed Stake, 12 months
● Management fee: 0%
● Other: Early Verification Masternodes will share this pool’s creator rewards according to their stake. These nodes can join and leave the pool at will (subject to stake rules); they will be eligible to share these rewards in perpetuity. Creator rewards will be paid out every 50,400 blocks (about 7 days). This guarantees that the Matrix AI Network will not receive any rewards from this pool.
Confirmed Early Verification Masternodes