Protocol Fee

There is a fee of 10% on the staking rewards as it stands now. The node operators receive some of this fee as an appreciation for their work in running the network while, other part goes to the DAO’s Treasury for current activities and future projects funding.

One thing to note is that the levies are not fixed and therefore changeable. DainDAO operates on democratic principles where its community can participate in governance decisions. Any adjustment to the fee percentage must follow DainDAO’s prescribed governance procedures. For this fee to be changed, there needs to be a proposal put forward, and a vote by all DAO members taken. In order for any amendment altering the structure of charges become ratified and implemented, it would require a successful poll where at least more than half of those casting their votes are in favor of such alteration.

Allocation of Fees

DainDAO distributes its 10% reward payment charge among these portions:

  • Node Operators: A portion of the fee is distributed to the node operators to incentivize the maintenance and operation of the network

  • DAO Treasury: The remaining fee contributes to the DAO Treasury which supports the ongoing development and governance of the project.

  • Operating Costs: The fees generated will help Daindao operate throughout it's fiscal year.

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