StorX Node Rewards Improvement Plan: Aligning for Future Growth.

StorX Overview

The StorX Network was launched in July 2021 with a mission to deliver an innovative, cutting-edge, decentralized cloud storage platform. Designed to offer users the utmost privacy and security, StorX Network provides a reliable de-centralized storage alternative to the monopolistic powers of storage giants who have built their fortunes based on users’ requirements to store their data.

With active support from our storage node operators and community members, StorX has achieved user registration of up to 118,000 users worldwide. Having launched its mainnet a few months back, StorX is now on a path to robust growth, having touched a rank of 820 in July 2024 in coinmarketcap from a rank above 3000 a few months back. It now aims to re-align the SRX token rewards program to match the upcoming aggressive growth phase.

A Proposed Program for StorX Rewards

The current StorX Network Rewards program consists of two components:

1. Storage Node Operator’s Hosting Rewards at 750 SRX per month
2. Staking Rewards at 6%

Based on input from the StorX Community, starting September 1, 2024, StorX Network will realign its Storage Node Rewards as follows.

1. Storage node Operator’s rewards for eligible nodes will be revised to 300 SRX per month from the current 750 SRX per month.

2. Staking rewards will be increased to 7% from the current 6%.

3. Storage Node Operators will continue to receive Staking Rewards based on the number of SRX staked.

4. Minimum Staking for New Nodes will be revised to 40,000 SRX post-initial intake of existing nodes.

5. Storage Node Hosting Rewards will be reduced by 5.00 % every three months to adjust for inflation.

Under the upgraded storage node program, all Storage Nodes must provide at least one month’s notice to exit and reclaim staked SRX. Exiting without notice will result in forfeiture of staked SRX.

Critical Factors for Deciding Storage Node Reputation

1. Quality of Storage Nodes
2. Performance of Storage Nodes
3. Key Location of Storage Nodes
4. Response to StorX Audit Requests
5. Number of SRX Staked for the Node

Benefits of StorX Node Rewards Adjustment

1. Curbing Inflation: Maintaining the same token generation and distribution rate since launch could erode the token’s purchasing power over time, discouraging long-term investment and customer adoption. Reducing the minting rate aims to stabilize the token’s value and maintain its purchasing power, improving its ranking on coinmarketcap.
2. Customer-Centric Storage Pricing: To make StorX Network self-sufficient and profitable in the long run, we aim to balance between storage consumption and tokens minted. We have already realigned the price of services, and the realignment of rewards is the next logical step.
3. Incentive Alignment: A high minting rate created misaligned incentives for token holders, favoring short-term gains over the long-term health of the project ecosystem. Reducing the minting rate encourages a more sustainable, long-term mindset among stakeholders.
4. Scarcity and Demand: By reducing the token supply growth, the project aims to create a sense of scarcity, potentially increasing the token’s demand and driving up its value over time, attracting more users and investors to the ecosystem.

Implementation Date

The new reward policy will be implemented starting September 1, 2024. This gives storage node operators a window of one month to decide their plan of action. All storage nodes that continue services and meet quality norms until August 31, 2024, will receive the current reward of 750 SRX on September 1. Post-September 1, rewards will be paid as per the new schedule at 300 SRX per month.

Instructions for Existing Storage Nodes

1. All nodes continuing services beyond September 1 will be deemed to have agreed to the new rewards program.
2. Node operators who do not wish to continue operating their storage nodes after August 31 can resign on September 1. After a cooling-off period, their nodes will be automatically canceled, and they will receive their staked tokens back.
3. Node update information will be sent to storage node operators on or before September 1, 2024. Users will need to upgrade their nodes, automatically joining the mainnet and making them eligible for storage node rewards.
4. If your node is inactive, you have the option to resign the storage nodes before September 1, 2024. Ineligible nodes will not be able to start the upgrade process until the upgrades of all eligible storage nodes are completed. Inactive Storage Nodes will be given a limited time to retake their storage nodes during inactive storage plan activation windows.
5. Staking for new storage nodes will be set to 40,000 SRX Tokens per node. Setting up new storage nodes will be disabled until all eligible nodes have migrated to new nodes.
6. An AMA (Ask Me Anything) channel will be open on our discord channel from August 1st to August 5th. This will be your opportunity to ask any additional questions or seek further clarification on the topics covered in this FAQ. The responses to your questions will be provided on August 7th.
7. Additionally, we are introducing Storage Node Operators Registration Forms within this article for our storage node operators who wish to migrate their nodes to the mainnet. We want to help our storage node operators seamlessly transition to the mainnet.

Active Node Operators
https://forms.gle/nVutTMa7UwKBaras6

Inactive Node Operators
https://forms.gle/qryzN6syqtVgLt3M6

We have compiled a comprehensive FAQ addressing the most common queries to ensure transparency and clarity. This FAQ aims to help you better understand the changes and what they mean for you as a valued member of the StorX Network.

StorX Network FAQ: Your Guide to Node Rewards, AMA Sessions, and Mainnet Migration

Send your feedback to us at our email: support@storx.io / pr@storx.io

About StorX:

StorX is a decentralized cloud storage network that empowers users to store their data securely in the cloud. Each file uploaded on StorX is split and encrypted into multiple fragments to autonomous storage nodes operated by individual operators worldwide. Designed as a collection of independent storage networks, no particular operator has complete access to your data. StorX is faster than legacy centralized storage providers and allows users to save substantial costs compared to a centralized cloud. StorX enables users with spare storage capacity to lease space and earn great returns in SRX tokens.

$SRX is listed on multiple-tier exchanges like HitBTC, Liquid, LCX, Coinstore, Bitmart and Bitrue. To know more about StorX Network, Visit https://beta.storx.tech

Don’t forget to follow us on our social channels:

Twitter | LinkedIn | Facebook | Reddit | Telegram