Ontology dApp Incentive Models: Descriptions and how to apply

Last week we shared several ideas for Ontology dApp developer incentive models and opened up the conversation on Reddit to hear what you had to say. We have now come up with four models which we introduce below with information on how to apply.

If you have questions or comments, please continue to let us know in this Reddit post.

The Ontology Foundation will trial the models for one year — from April 1st, 2019 to April 1st, 2020 — during which time the rules will not change. The period before April 2019 will be used for technology development and preparation.

Incentive Model A: Transaction fee rebate

50% of all transaction fees (ONG) generated by a dApp will be returned to the dApp developer. Ontology hopes this model will encourage intuitive and effective dApps.


A user makes a 0.01 ONG transaction on a developer’s dApp, this means 0.005 ONG is returned to the developer. As the dApp becomes more popular, the developer will get more and more ONG, and can generate an income from the transaction fee rebate along.

How to apply?

Submit your dApp on the top right of the Ontology dApp page.

Incentive Model B: Active dApp incentives

The Ontology Foundation has proposed an active dApp incentive model to rewarding dApps which rank in the top 50 in activity.

Details of the plan include:

1. Total incentive amount of 200,000,000 ONT and ONG

The Ontology Foundation will award a total of 100,000,000 ONT and 100,000,000 ONG to the developers with the most active dApps in regular quotas.

2. The incentive ranking is determined by dApp active users and transaction volume

We will publicize the top 50 dApps based on the number of active users and transaction volume. If activity reaches a set number, it will qualify for ranking. If the number of dApps qualified for ranking is less than 50, the total bonus amount will be adjusted proportionally according to the number of dApps in the ranking.

3. The higher the ranking, the greater the incentive

Incentives are divided into daily and weekly incentive rankings. The daily rankings will use ONG as a reward, with a total daily incentive of 20,000 ONG per day. The weekly rankings will use ONT as a reward, with a total weekly incentive of 90,000 ONT. Higher rankings will receive greater incentives and if the same dApp appears in both daily and weekly rankings, it will receive both of the rewards.

4. Incentive Model A declaration

  • After one year of trial operation, the Foundation will determine whether to adjust the model based on community feedback.
  • If dApp activity is found to be manipulated, a penalty will be issued.
  • Gambling dApps are currently not included in this incentive model.

Calculation example

If during a certain period of time the Ontology dApp Store had four dApps and only two applications qualify for the daily ranking and weekly ranking, the total daily reward will be 2/50 of 20,000 ONG and total weekly reward will be 2/50 of 90,000 ONT.

dApp D in the table below ranked second in the daily ranking, so would receive 263 ONG after the daily prize pool is reduced. Meanwhile, dApp D was ranked first in the weekly ranking, so 2,770 ONT from the weekly prize pool can be obtained. Therefore, the total income of dApp D for this period is 263 ONG and 2,770 ONT.

Revenue simulation curve

As shown below, we simulated an expected revenue curve for the developer of a dApp. We hope the model will help dApp developers overcome early operation and maintenance difficulties, and provide enough incentives for dApp developers to maintain long-term operation when the user transaction volume has not yet reached the ideal profitable point.

How to apply?

Submit your dApp on the top right of the Ontology dApp page.

Incentive Model C: dApp development loan program

Why initiate this program?

  • Help developers start out

Ontology encourages developers to jump start building their dApps on Ontology. For developers who start developing without funding, the loan program provides financial support right from the beginning.

  • Reduce the burden of operational cash flow

Developers can use the loan borrowed from the Ontology Foundation for their initial phase of dApp development, testing, and operation until it is up and running smoothly.

How does the program work?

  • The total loan will be paid in two equal installments

The first installment will be issued when the smart contract is ready and the application has a prototype, meaning around 70% of the development process is complete. The second installment will be issued when the dApp goes live.

  • Repayment plan of your choice

The loan is issued in the form of ONT and we will record the equivalent USDT amount at the time of issuance (e.g. 10,000 ONT = 7,000 USDT).

At the time of repayment, depending on the ONT price at the time, dApp developers can choose from two ways to pay back the loan:

A: If the ONT price goes up developers can choose to return the equivalent USDT amount recorded at issuance.

B: If the ONT price goes down developers can choose to return the same amount of ONT.

  • Declaration

Gambling dApps are not included in this loan program.

The copyright and operations of dApps belong to the developers.

Standard loan program process (as pictured above):

1st milestone: After you submit plans and functions of the dApp project, the Ontology Technical Committee will evaluate the materials and determine the loan amount, installment milestones, progress control, and repayment agreements between you and the developer team. The Ontology Technical Committee will appoint a project coordinator to track the progress of the project with your team.

2nd milestone: When the dApp development is 70% complete, the Ontology Technical Committee will review it. After evaluating the project, we will issue the first installment of your loan.

3rd milestone: After the dApp is launched, the second installment will be issued.

4th milestone: When the loan is due, you will need to pay back your loan in the method you choose.

How to apply?

You can submit your application here. The application materials should include team name, email address, team introduction, GitHub address, the functions of your dApp, the development plan of your dApp, estimated number of days needed for development, estimated ONT loan amount needed, and estimated number of days needed for the loan (maximum one year).

Incentive Model D: Technical and marketing support

After providing developers with financial support for development and operation in Incentive Model A and B, we further hope to improve development efficiency and operational effectiveness through technical and marketing support. dApp developers can declare projects through the dApp page on our official website, and after the technical department evaluates it, Ontology will assign a project owner to help develop and market the dApp throughout its life cycle.

Developers who wish to participate in both the loan program and technical and market support must submit two applications to receive support for both.

HyperDragons Go! example

The blockchain game HyperDragons Go! was officially launched on Ontology in December. According to data on December 28th, the average daily growth rate of players on first three days reached 272%, the average daily growth rate of active players was 919%, and the average daily growth rate of transactions was 756%. It only took five weeks for the Ontology team to help this game move from Ethereum to Ontology. Our support in this process included:

Technical Support

  • Providing protocols to help HyperDragons Go! to achieve the scan-to-play feature (ONTO is the first mobile app that supports such function).
  • Guidance on the use of the TS-SDK.
  • Coding instructions and auditing of smart contracts.

Marketing support

  • Global community sharing: The news shared covered over 200,000 users over 36 channels on 11 social media platforms.
  • Global marketing operations: event planning, poster design, news releases, local advertising, real-time community maintenance, and feedback.

How to apply?

You can submit your application here.

If you have any questions about the incentive models, you can contact us at contact@ont.io. The Ontology Foundation reserves the right to interpret the incentive models.