COTI’s Full Nodes
Full Nodes are the main client-facing servers of the system. Each transaction sent from a wallet is received by a Full Node and propagated to the entire system. Full Nodes perform Trustchain Consensus by receiving new transactions from wallets, validating them, doing Proof of Trust and attaching them to the DAG. Full Nodes also execute COTI smart contracts in a decentralized manner. On the COTI network, Full Nodes can define their own price list for users and compete for them. The range of the fees defines in the network is between 0.01% to 25 COTI coins max, per transaction. Consequently, COTI Full Nodes are responsible for collecting fees on all protocol usage and transferring the network fee to the network pool.
As a rule, Full Node fees are collected in the same token as the main payment. Full Nodes are free to define which tokens they process and accept for fees and which they do not.
In the article below, we demonstrated several situations for a Full node operator or staker in the COTI ecosystem.
TestNet Node
Jon is running a node on COTI’s TestNet and he’s staking 100,000 COTI.
Jon will earn 833.333 COTI coins per month, only from the guaranteed rewards, as no real fees are being collected in TestNet. After one year he will earn a total of 10,000 COTI.
Unstaking can be done on each calendar month. If Jon will decide to unstake his coins in the middle of the year, he will earn a relative amount for the staking period. For example, if Jon started to stake on January 1st, 2020, then decided to unstake on April 23rd, 2020, he will earn a total of 3,333.333 COTI (4 full months) and he will receive his staking amount of 100K COTI on May 1st, 2020.
MainNet Basic Node
Adam and David are running basic nodes on COTI’s MainNet. Each one of them has staked 100,000 COTI from January 1st, 2020.
Adam has set a fee of 0.1% and the transaction volume he processed in January was worth 25,000,000 COTI. David has set a fee of 0.2% and the transaction volume he processed in January was worth 20,000,000 COTI. Therefore, in January 2020, Adam earned 25,000 COTI, while David earned 40,000 COTI.
MainNet Advanced Node
Samantha and Rob are running advanced nodes on COTI’s MainNet. Each one of them has staked 250,000 COTI from January 1st, 2020.
Samantha has set a fee of 0.1% and the transaction volume she processed in January was worth 2,000,000 COTI. Rob has decreased the fee to 0.05% and the transaction volume he processed in January was worth 15,000,000 COTI. Therefore, in January 2020, Samantha earned 2,000 COTI, while Rob earned 7,500 COTI.
Since the income received from the fees does not provide the guaranteed reward of 62,500 annually (5,208 per month), COTI will cover the difference and will pay Samantha another 3,208 COTI in January.
Community Node Operator
Winston Wolfe is running a community node on COTI’s MainNet. He has staked 100,000 COTI out of a total staking of 500,000 COTI, from January 1st, 2020.
Winston Wolfe has set a fee of 0.1% and the transaction volume he processed in January was worth 2,000,000 COTI. The total fees are being divided between the community node operator, and the community members, according to their staking amounts. Therefore, in January 2020, Winston Wolfe earned 400 COTI. Since the income received from the fees does not provide the guaranteed reward of 30,000 COTI annually (2,500 monthly), COTI will cover the difference and will pay Winston Wolfe another 2,100 COTI.
On February 1st, 2020 Winston Wolfe has set the same fee to 0.1% and the transaction volume he processed in February was worth 40,000,000 COTI. Therefore, in February 2020, Winston Wolfe earned 8,000 COTI. Since the income received from the fees was higher than the guaranteed reward of 30,000 COTI annually (2,500 monthly), Winston Wolfe will earn the amount collected from the fees.
Community Node Member
Jane and Mary are Winston Wolfe’s community members and they’ve been chosen to participate in his community node staking. Jane has staked 10,000 COTI, out of a total staking of 500,000 COTI, while Mary has staked 5,000 COTI.
On January 1st, 2020 Winston Wolfe has set a fee of 0.1% and the transaction volume he processed in January was worth 2,000,000 COTI. The total fees are being divided between the community node operator, and the community members, according to their staking amounts. Therefore, in January 2020, Jane earned 40 COTI, while Mary earned 20 COTI. Since the income received from the fees does not provide the guaranteed reward of 3,000 COTI annually (250 monthly), COTI will cover the difference and will pay Jane another 210 COTI. Same with Mary, since the income received from the fees does not provide the guaranteed reward of 1,500 COTI annually (125 monthly), COTI will cover the difference and will pay Jane another 105 COTI.
On February 1st, 2020 Winston Wolfe has set the same fee to 0.1% and the transaction volume he processed in February was worth 40,000,000 COTI. Therefore, in January 2020, Jane earned 800 COTI, and Mary earned 400 COTI. Since the income received from the fees was higher than the guaranteed reward of 3,000 or 1,500 COTI annually (250 or 125 monthly), Jane and Mary will earn the amount collected from the fees.
For the full Staking guide at COTI v1.00, visit here.
For more details on the stakes and guaranties please refer to Nodes and staking article.
COTI Resources
Website: https://coti.io
Telegram: https://t.me/COTInetwork
Twitter: https://twitter.com/COTInetwork
Github: https://github.com/coti-io
Discord: https://discord.me/coti
Technical whitepaper: https://coti.io/files/COTI-technical-whitepaper.pdf
