[Tour de SOL] Stage 1 - Preliminary Compensation Design

Validators, we’re excited to provide you with a look at our preliminary compensation structure for Stage 1 (total of 3 Stages) of Tour De SOL.

DESIGN PHILOSOPHY
We’ve been exploring various options over the past few weeks, and trying to identify what structure made the most sense. Ultimately our design goals were:

  • To identify the behaviour we want to see most, and compensating Validators for that
  • Setting clear goals for the event while still allowing Validators to have creative freedom ( e.g. in their setups, and in their attacks)
  • Ensuring that ‘success’ within Tour De SOL appropriately measures the ability and effort of the validator, rather than simply their access to capital
  • Maintaining fairness throughout the competition
  • Providing SOLs as compensation to those Validators who provide meaningful on-going contributions throughout the Tour
  • Provide a partial-solution to offset the challenges faced by smaller validators, or those who are not already invested in the project
  • Design a compensation structure that is able to strike a fine balance between properly compensating participants, without being generous to the point that participants are only interested in short term financial gain

While it’s not perfect, we think this is a good starting point. We’re happy to collect feedback and take on board any comments that are considered and constructive.

Please be mindful that there are also many other elements which restrict our flexibility on what we can and can’t implement, including regulatory considerations. As a result, we won’t be able to capture/implement all the feedback, even if it looks good on paper. At the same time I’m sure there’s plenty of great ideas as well which could improve the design.

STAGE 1 COMPENSATION

OVERVIEW
The output based on the above design goals has generated an overall structure for Tour De SOL that is broken up into the following compensation categories:

  • Qualitative - Success metrics in this category are subjective and performance will be determined by Solana with community input.
  • Quantitative - Assessment criteria is specific and objective. Validatos will be assessed against our baseline. The baseline will be derived from the performance of a Tesla V100 run by the Solana team.
  • Universal - Criteria which is assessed over the entire duration of the event i.e. across all 3 stages. Entirely made up of qualitative assessment criteria.

Link to spreadsheet for readability:https://docs.google.com/spreadsheets/d/11puBSw2THdO4wU-uyDEic-D03jg4ZAooVpcZU0w_4gI/edit?usp=sharing

QUALITATIVE COMPENSATION
Attacks

  • 1st Place - 31,500 SOL
  • 2nd Place - 15,500 SOL
  • 3rd Place - 8,000 SOL

Evaluation criteria for attacks would be determined based on: scale of vulnerability exploited in the attack, execution complexity, originality and effectiveness and last but not least the attack must be in line with the accepted code of conduct (further information to follow prior to start date of Stage 1 on code of conduct).

Team Player

  • 1st Place - 3,200 SOL

Team Player candidates will be evaluated based on whether an organisation or individual has been proactively helpful to other validators during the event. A community champion if you will. Which could be as simple as being the person who is always first to help answer any Validator related questions in discord.

Community Content

  • 1st Place - 6,250 SOL
  • 2nd Place - 3,200 SOL
  • 3rd Place - 1,600 SOL

Community Content can be something as simple as a blog post. Ultimately, it should be something that’s publicly shared with the Validators at least. We’re not looking for a ‘shill Solana’ post. We’re looking for something that educational and beneficial for the Validator community or just other Validators in general that revolves around Tour De SOL in some way.

Qualitative Category - Total SOLS: 69,250

QUANTITATIVE COMPENSATION
To reiterate: Validatos will be assessed against our baseline. The baseline will be derived from the performance of a Tesla V100 (“the baseline”) run by Solana.

Confirmation Latency
The amount of time each Validator spends on confirming a block. The average ‘confirmation time’ over the entire duration of Stage 1 will be taken as one metric.

Those with the 3 fastest average confirmation times will be rewarded:

  • 1st place - 31,500 SOL
  • 2nd place - 15,500 SOL
  • 3rd place - 8,000 SOL

Final average confirmation times greater than, but not less than 95% of the baseline performance of the baseline:

  • All participants that fall into this category - 8,000 SOL

Final average confirmation times between 95 - 75% of the baseline:

  • All participants that fall into this category - 4,000 SOL

Final average confirmation times between 75 - 50% of the baseline:

  • All participants that fall into this category - 2,000 SOL

Most Rewards Earned
Validators will accumulate SOLs throughout the competition by collecting transaction fees and receiving protocol inflation rewards

Top 3 placement

  • 1st place - 31,500 SOL
  • 2nd place - 15,500 SOL
  • 3rd place - 8,000 SOL

Top 25% in Rewards Earned

  • All participants that fall into this category - 8000 SOL

Top 25-50% in Rewards Earned

  • All participants that fall into this category - 4,000 SOL

Top 50-90%

  • All participants that fall into this category - 2,000 SOL

Highest Availability
This will be defined by the number of votes a validator has made over time, relative to the number of slots passing by. For example: missing production of a block and missing votes on a block would negatively affect your result.

Top 3 placement

  • 1st place - 31,500 SOL
  • 2nd place - 15,500 SOL
  • 3rd place - 8,000 SOL

Final availability % greater than, but not less than 95% of the baseline performance of the baseline node

  • All participants that fall into this category - 8000 SOL

Final availability % between 95 - 75% of the baseline:

  • All participants that fall into this category - 4,000 SOL

Final availability % between 75 - 50% of the baseline:

  • All participants that fall into this category - 2,000 SOL

UNIVERSAL COMPENSATION
This is compensation which will take into consideration Validator performance across all three stages and lives separately to stage specific rewards.

Attacks

[TBC]

Community

Further details to be provided on this category later together with the release of our Bounty Program. If you’re really interested in getting an idea of broadly that might entail, refer some examples from our github: Community Prizes

CONCLUDING COMMENTS

  • We’ll broadly be open to feedback for the next 48 hours. We do want to get this finalized sooner rather than later.
  • We don’t have specific metrics around what performance Solana’s V100 node will achieve at this time. But will have a better idea after we conduct an internal dry run next week. At that time we’ll inform Validators participating in Tour De SOL the results of that. The Validator dry run will also provide some more data for Validators to baseline their performance against.
  • Note that we will also be using Tour De SOL to evaluate staking services as we explore additional solutions to some of the problems we see within the overall staking space. So compensation within each stage of Tour De SOL will likely be just one of several solutions.
  • Validators can expect that the format for Stages 2 and 3 to be relatively similar. We’re starting with relatively conservative values just to see how the Stage 1 plays out first.
  • We’ll be announcing the other stage compensation designed before each stage and use each stage to learn and improve the structure
  • SOLs compensated to Validators within this event have a 1-year non-transferrable bonding. Meaning they will be locked, but they can be staked during this time, and rewards generated from staking will be liquid.
  • We intend to launch a bounty program in parallel with Tour De SOL
  • KYC/AML will be required before any compensation is distributed
  • For stage 1 there is a total cap of 150,000 SOL for each participant. I.e. no single participant can earn more than 150,000 SOL for their participation in the stage
2 Likes

Thanks for the works! I would like to ask about “Community Content”. Does this mean the content marketing (eg. writing blogpost)? Or does this include daily involvement in the community (eg. chatroom)? Or it actually means something else?

No problem, it can be something as simple as a blog post. Ultimately, it should be something that’s publicly shared with the Validators at least. We’re not looking for a ‘shill Solana’ post. We’re looking for something that educational and beneficial for the Validator community or just other Validators in general that revolves around Tour De SOL in some way.

So some examples off the top of my head could be, tutorials on running a node, lessons learnt from Stage 1, how to facilitate a secure setup etc.

The blog posts don’t even have to necessarily paint Solana in a good light, if you’ve got constructive feedback, and there’s room for improvement that you want to voice. That’s fine by us, we just want to facilitate open discussion.

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Hey all, I’ve made a few changes to the Compensation Structure (as we’re also internally reviewing it ourselves as well).

Notable Changes/Inclusions:

  • Added note “KYC/AML will be required before any compensation is distributed”
  • Added note “For stage 1 there is a total cap of 150,000 SOL for each participant. I.e. no single participant can earn more than 150,000 SOL for their participation in the stage”
  • Added note “We intend to launch a bounty program in parallel with Tour De SOL”
  • Added note “SOLs compensated to Validators within this event have a 1-year non-transferrable bonding. Meaning they will be locked, but they can be staked during this time, and rewards generated from staking will be liquid.”
  • Removed compensation under Universal Compensation - Attacks, requires further review from legal
  • Replaced compensation under Universal Compensation - Community, intend to replace with bounties. Examples provided in our Github for Community Prizes
  • Re-structured the compensation structure for the Confirmation Latency category. Previously used two metrics (the 50th and 95th percentile value of confirmation latency values generated). It’s now simplified to just the average confirmation latency across the duration of Stage 1. Compensation has been adjusted to suit.

Other Changes:

  • Grammatical fixes
  • Revised the wording around performance against Solana’s baseline V100 node so that it’s easier to understand. I unintentionally made it SUPER CONFUSING before haha.
  • “Most Fees Earned” category renamed to “Most Rewards Earned”
  • Removed some leftover “Scenario” data from the spreadsheet
  • Spreadsheet revised to suit new adjustments
  • Revised wording for one of the Design Philosophy dot points to: “Providing SOLs as compensation to those Validators who provide meaningful on-going contributions throughout the Tour”
  • Added descriptions under Qualitative Compensation categories for clarity
1 Like

Additional Edits made to Compensation Structure (spreadsheet also updated to match):

  • Revised evaluation categories under the Most Rewards Earned category. Originally assessed Validator performance against Solana’s baseline node only. But that didn’t really make too much sense. So instead compensation for this category is simply based on their rewards earned against every other validator in the network.