Rewards

Rewards come from a funded pool

The reward distributor allocates ASSET over epochs. It supports an emission-controller funding path and a prefunded mode. It does not mint an arbitrary amount when an operator requests payment.

Finalization checks that funds cover outstanding claims and the epoch's allocation. A calculated reward and a finalized, claimable reward are therefore different states.

Allocation has two levels

See worked examples for the age, experience, and reputation formulas and a complete role/operator allocation. Protocol parameters gives the verified testnet epoch duration and conditional floors. First, the protocol allocates the pool across TV, SV, and IV roles. Role floors are subject to participation and notional activation conditions; they are not unconditional allocations to a single operator.

Within each role, validator weight reflects:

• Stake: the USD-equivalent collateral backing participation.
• Age: how long collateral has remained posted.
• Experience: the BVID's history of serving distinct assets.
• Reputation: its recent penalty record.

New deposits start with no tenure. Adding capital does not instantly give it the age of an older position.

Eligibility changes the result

Health, BVID status, wind-down, overdue scoring evaluation, and provisional penalty freezes affect reward eligibility. Degraded health reduces the applicable weight; inactive or jailed participation does not receive ordinary active rewards. Voluntary wind-down has its own notice-period treatment.

Relevant inputs are snapshotted for the epoch. A deposit or treasury buy-out after the snapshot does not rewrite the already-open epoch's allocation.

Treasury-backed accounts

Where enabled, the account's reward is split between the operator and treasury using their age-weighted positions. Account-level eligibility checks apply before that split. Treasury funding does not create a second pool or exempt the account from a freeze.

See Treasury delegation for ownership, buy-out, and exit behavior.

Reading a reward balance

Check the epoch, whether it has finalized, what has already been claimed, and which operator currently controls the BVID. Compare the dashboard with contract state before treating a displayed estimate as available funds.

There is no fixed yield implied by these mechanics. Allocation depends on funding, other participants, collateral, tenure, and eligibility. The numerical return examples in the engineering specification are model scenarios, not quoted returns for Real Testnet or a future production network.