Block Reward Allocation

Reward Distribution Overview

Distrix implements a balanced block reward distribution system that incentivizes various participants in the ecosystem. Each block produces a total of 1.00 DSTX, which is allocated to different components of the network.

Detailed Allocation

Mining Rewards (15%)

Mining rewards incentivize miners to secure the Distrix network through Proof-of-Work consensus. Miners compete to solve complex mathematical puzzles using the Ethash algorithm, and the successful miner receives 0.15 DSTX per block.

Mining Reward Distribution

• Block Reward: 0.15 DSTX per block
• Block Time: Approximately 13 seconds
• Daily Emission: ~996 DSTX (0.15 DSTX × 6,646 blocks per day)
• Annual Emission: ~363,540 DSTX (0.15 DSTX × 2,423,600 blocks per year)

Mining Difficulty Adjustment

The mining difficulty automatically adjusts to maintain the target block time of 13 seconds. As more miners join the network, the difficulty increases to ensure consistent block production.

Staking Rewards (50%)

The largest portion of block rewards (50%) is allocated to the staking pool, which rewards DSTX holders who stake their tokens and Contributor Node operators who help secure and maintain the network.

Staking Reward Distribution

• Block Reward: 0.50 DSTX per block
• Daily Emission: ~3,323 DSTX (0.50 DSTX × 6,646 blocks per day)
• Annual Emission: ~1,211,800 DSTX (0.50 DSTX × 2,423,600 blocks per year)

Staking Mechanism

Staking rewards are distributed proportionally based on the amount of DSTX staked. Contributor Node operators must stake a minimum of 50 DSTX to participate in the network and receive rewards.

Reward Formula

Reward = (Your_Stake / Total_Staked) × Block_Reward × Staking_Allocation

For example, if you stake 1,000 DSTX and the total staked amount is 1,000,000 DSTX, your reward per block would be:

Reward = (1,000 / 1,000,000) × 1.00 × 0.50 = 0.0005 DSTX per block

Farming Rewards (20%)

To ensure market depth and trading liquidity for DSTX, 20% of block rewards are allocated to liquidity providers who contribute to liquidity pools on decentralized exchanges.

Liquidity Reward Distribution

• Block Reward: 0.20 DSTX per block
• Daily Emission: ~1,329 DSTX (0.20 DSTX × 6,646 blocks per day)
• Annual Emission: ~484,720 DSTX (0.20 DSTX × 2,423,600 blocks per year)

Supported Liquidity Pools

Farming rewards are distributed to providers in the following pools:

• DSTX/ETH
• DSTX/USDT
• DSTX/USDC

Reward Distribution

Rewards are distributed proportionally based on the amount of liquidity provided. The formula for calculating farming rewards is:

Reward = (Your_Liquidity / Total_Liquidity) × Block_Reward × Liquidity_Allocation

Innovator Fund (10%)

10% of block rewards are allocated to the Innovator Fund. This fund supports grants, hackathons, and incentives for developers and teams building new dApps, protocols, and tools on Distrix. The goal is to foster innovation and accelerate ecosystem growth.

Innovator Fund Distribution

• Block Reward: 0.10 DSTX per block
• Daily Emission: ~665 DSTX (0.10 DSTX × 6,646 blocks per day)
• Annual Emission: ~242,360 DSTX (0.10 DSTX × 2,423,600 blocks per year)

Fund Utilization

• Grants: Funding for new dApps, protocols, and research
• Hackathons: Incentives for developer competitions and innovation events
• Partnerships: Support for strategic collaborations and integrations
• Community Innovation: Rewards for community-driven ideas and projects

Governance

The Innovator Fund is governed by a committee of core contributors and community representatives, with transparent reporting and a roadmap for DAO-based governance.

Development Fund (5%)

A small portion (5%) of block rewards is allocated to the Development Fund, which supports ongoing development, marketing, community initiatives, and ecosystem growth.

Development Fund Allocation

• Block Reward: 0.05 DSTX per block
• Daily Emission: ~332 DSTX (0.05 DSTX × 6,646 blocks per day)
• Annual Emission: ~121,180 DSTX (0.05 DSTX × 2,423,600 blocks per year)

Fund Utilization

The Development Fund is used for:

• Core Development: Funding the ongoing development of the Distrix protocol
• Security Audits: Regular security reviews and audits
• Marketing: Promoting Distrix to increase adoption
• Community Initiatives: Supporting community-led projects and events
• Ecosystem Grants: Funding promising projects building on Distrix
• Exchange Listings: Securing listings on major exchanges

Governance

The Development Fund is governed by a multi-signature wallet controlled by the core team, with plans to transition to a DAO-based governance model in the future. All expenditures are transparent and reported to the community.

Halving Mechanism

Distrix implements a gradual yearly halving mechanism that reduces block rewards by 12.5% each year, creating a smoother emission schedule compared to traditional halving models.

Yearly Reward Schedule

This gradual reduction ensures a smoother emission curve and helps maintain network security and participation over time. Approximately 99% of the total DSTX supply will be minted over a 100-year period.