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How are validator node-runners incentivized?

Validator node-runners have three ways they can earn XRD from running a validator node:

  • Emissions rewards - are earned by staking tokens to their own validator node. This is just like any other XRD token holder
  • Validator fees - are a % of the emissions XRD earned by a validator node that are automatically credited to the validator based on the amount of XRD delegated to the validator. These fees are set by each validator
  • Subsidy incentive for validators - is a set amount of XRD per month provided manually by Radix Tokens (Jersey) Limited. This is to provide a base level of fixed incentive to cover typical per-node operation costs - ensuring that node-running is accessible to anyone who can gather sufficient stake from the community to reach the top 100.

Further reading: