DocsOperateReward calculation

Reward calculation

How protocol fees flow, how your stake is weighted, what your APY actually works out to — and a calculator that nets it against your infrastructure cost.

Fee distribution

Every protocol fee — block fees, credential verification fees, cross-subnet relay fees — is split three ways at the moment of collection. No discretionary allocation, no governance vote required.

100%of every fee
docsEconomics.feeSplit.validators
70%
docsEconomics.feeSplit.treasury
20%
docsEconomics.feeSplit.burn
10%

docsEconomics.feeSplitBreakdownNote

Effective stake weight formula

docsEconomics.stakeWeightDescription

effective_stake=stake×uptime_factor×reputation_factor
stake

Nominal SLDS locked to your validator DID. Minimum varies by tier.

uptime_factor

30-day uptime as decimal (0.0 – 1.0). 99.5% → 0.995.

reputation_factor

reputation_score / 1,000. New validators start at 500 (factor 0.5).

docsEconomics.callout.whyDiscount

docsEconomics.callout.whyDiscountText

Reward sources

The validators-70% pool itself comes from three on-chain activities. Block production is the largest, but credential verification (unique to Solidus's Proof-of-Identity model) and cross-subnet relay are real and growing.

docsEconomics.rewardSource.blockProduction74.7%
docsEconomics.rewardSource.credentialVerification19.1%
docsEconomics.rewardSource.relayRelay6.2%

Source mix varies per validator. Light Nodes earn no relay rewards (only Subnet+ relay). Credential verification rewards depend on whether your validator is in the active KYC verifier set at the time the credential is issued.

APY calculation

APY ranges shown on marketing pages are midpoint estimates for a healthy validator in active consensus. The actual formula:

reward economics
# Per-epoch SLDS reward for one validator
reward_per_epoch = epoch_fee_pool × 0.70                # validator share
                  × (your_effective_stake
                     / total_network_effective_stake)

# Annualized
apy = (reward_per_epoch × epochs_per_year / your_stake) × 100
docsEconomics.tableHeading.tierdocsEconomics.tableHeading.minStakedocsEconomics.tableHeading.apyLowdocsEconomics.tableHeading.apyMiddocsEconomics.tableHeading.apyHigh
docsEconomics.tier.light10,00012%13.5%15%
docsEconomics.tier.subnet100,00018%20.0%22%
docsEconomics.tier.core1,000,00025%27.5%30%

Ranges assume ≥ 99.5% uptime and ≥ 800 / 1,000 reputation. Below these floors, APY scales down per the effective-stake formula above.

Epoch & unbonding

Epochs are the chain's reward-settlement boundary. Stakes lock in at epoch start; rewards distribute at epoch close. Withdrawal initiates a 21-day unbonding period for safety.

docsEconomics.epochInfo.epochLength

docsEconomics.epochInfo.epochLengthValue

docsEconomics.epochInfo.epochLengthSub

docsEconomics.epochInfo.rewardPayout

docsEconomics.epochInfo.rewardPayoutValue

docsEconomics.epochInfo.rewardPayoutSub

docsEconomics.epochInfo.unbonding

docsEconomics.epochInfo.unbondingValue

docsEconomics.epochInfo.unbondingSub

docsEconomics.callout.unbondingIrreversible

docsEconomics.callout.unbondingIrreversibleText

Net APY calculator

Gross APY is what marketing pages quote. Net APY is what actually lands in your wallet after infrastructure cost. This calculator does the subtraction honestly — especially important at Light Node and entry-Subnet stake amounts.

100,000
99.5%
847 / 1,000
$60
docsEconomics.calc.effectiveAPY

16.86%

docsEconomics.calc.effectiveAPYSub

docsEconomics.calc.annualGrossSlds+16,855
docsEconomics.calc.annualGrossUsd+$843
docsEconomics.calc.annualInfraCost−$720
docsEconomics.calc.netAnnualUsd

+$123

docsEconomics.calc.netApyLabel

docsEconomics.callout.netVsGross

docsEconomics.callout.netVsGrossText
Reward Calculation