There is a subject that we need to discuss as a community to ensure it occurs in a fair manner while maintaining security in the early blocks after Symbol launch: how early block harvesting should work.
There will be a few similar posts over the next few days on different subjects, I will add each to the Single Source of Truth post as they go up, for easy reference.
At Symbol startup, it will take a small amount of time to get everyone’s nodes online and slighly longer to get the first round of voting nodes online
As a result, the early blocks would be harvested by relatively fewer people, so earnings will be disproportionately higher if we don’t do something
We think setting block rewards to 0 for first 120 blocks and not Voting Node payments for first Finality Epoch (720 blocks) is fairest but want input.
When Symbol starts, the initial nodes are likely to be the Core Developers, NEM Core Team and NEM Group’s for a few minutes/hours until community nodes download configs and come online etc. Just due to coordination and it taking some time after network launch and configs are made available for nodes to start, download and general join the network.
This time will be reduced as much as is possible and details will be published as soon/early as possible to get more nodes on the network, but it will take at least a few minutes for people to bring nodes up, download images, sync etc
Additionally, Finality starting relies on having configured nodes selected to act in the Voting Group, or it won’t start. Once the first set of nodes are selected, it will take 1 epoch (720 blocks or ~6 hours) before they change. So the first voting nodes online after block 1 will be in the group for ~6 hours.
This means any harvesting, voting or other payments in the early blocks will be shared among a smaller group of nodes than later ones, just because it takes time to bring them all online. Many of those nodes will be run by a small group of people.
Our recommended approach is to remove rewards for those early blocks and pay them out in later blocks. This would work by:
Block Rewards: Set the first 120 blocks to have no block rewards; giving ~1 hour to bring nodes online and for people to delegate to the nodes.
Finality/Voting: The first Finality epoch paying no Voting Payment or Supernode Payments, the tokens would be paid in the second epoch - effectively doubling the second epoch payouts.
Transaction Fees Any fees that NEM Group, NEM Core Team or Core Developers nodes earn in the first 100 blocks are put into the SuperNode fund for redistribution as soon as practical (may take a week or two to organise).
The reason for this is that it gives everyone in the community time to bring nodes online and no unfair distribution of early block earnings - essentially it democratises those payments over anyone running a node after 1 hour and running a Supernode. However it allows easier co-ordination to ensure the network starts correctly and when nodes join that things like Finality are working already.
This is an open discussion and call for input, if we have missed anything, it doesn’t sound fair, there is a better option, then please do contribute, it is intended to start the conversation.