Payout
YOM’s payout model is session-based and usage-driven, aligning incentives with real player activity. This is a key differentiator from many crypto networks that simply act as token farms. Instead, our nodes earn in proportion to the amount of gaming sessions they (can) host. This chapter provides a look at how the nodes function in relationship to rewards earned and how rewards are calculated.
Base Payout
The base reward payout is set $0.05 as it ensure that electricity prices in western Europe and US for the required compute are <20% of the payout. The base payout is set based on the energy efficiency, keeping the 20% as a key ratio to achieve per region.
Flow of Value
Publishers pay node operators for running the sessions. The payment usually starts as a recurring FIAT payment, which gets automatically swapped into a regional tokens, each paired against $YOM and $USDC. Below is the distribution key:
Nodes
A large chunk of the rewards go directly to node operators to incentivize their participation.
Network
Funds allocated to infrastructure improvements, software updates and scaling operations.
Burned
2.5% gets burned in the regional token and 2.5% gets burned in $YOM. This mechanism keeps the token supply deflationary, aligning all stakeholders.
As node operators receive their tokens, some choose to hold to accumulate more XP, become active in the community, or provide liquidity on decentralized exchanges, further fueling the network’s growth and liquidity. Others may convert tokens to cover operational costs.
Workload Differentiation
Games that are poorly optimized or highly graphically intensive consume more processing power. Additionally, streaming at 4K, 60 FPS, or handling popular AAA titles can dramatically increase GPU usage. Rewards can fluctuate anywhere between ~ 40% (mobile games) to ~ 250% of the base payout. As part of our solution, we collect telemetry from every game, which we use to assign a workload difficulty score.
Regional Differentiation
Workload rates vary globally. YOM accounts for regional differences via a number of liquidity pools deployed on its own chain against its main asset $YOM and regional tokens. With Regional tokens you can think of $yEU or $yCHN, each in a burn/mint relationship against $YOM.
The regional tokens will each have a different price point which the market will correct for. Operators in markets with traditionally strong advertising demand (e.g., North America, Western Europe) can expect to receive proportionally higher regional token price. Whilst, operators in markets with high operating costs (electricity or ISP/bandwith costs) are expected to receive proportionally higher utilization levels (less competing operators active).
As we discussed earlier the base payout is a function of electricity consumption. Over time, with price differentiation implemented and the expectation of higher payouts in high electricity regions, this will allow us to further optimize the base payout rewards.
How it All Comes Together
Let's zoom out for a bit. The reward formula becomes:
Session Payout = Base Payout [$] * Distribution Key [%] * Workload Difficulty [%] or simpler with some of these variables filled in;
$0.02 = $0.05 * 40% * 100% The buy pressure of the session payout, still priced in dollars, is then via smart contract in real-time settled in the regional token using the price peg of $YOM to $USDC. In this smart contract call we burn 2.5% in $YOM and 2.5% in the regional token. This ensures that $YOM globally participates in all usage, whereas the regions participate in their regional contribution to their network.
In simpler terms, 1) your node earns more for harder work and 2) are normalized depending on where you live. This ensures fair market-set pricing for operators and publishers alike.
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