This proposal aims to change the reward distribution formule for POND and MPond delegators.
Currently, rewards are allocated to clusters based on their performance, more specifically, in proportion to the tickets they receive. The cluster operator takes their cut of the rewards which are then split into two equal parts to be distributed between POND and MPond delegators. The delegators receive rewards from the corresponding part proportionally based on their stake.
This proposal changes how rewards are split between POND and MPond delegators. The rest of the reward mechanism described above remains unchanged.
Let C
be a cluster. Let S_MPond
be the total amount of MPond delegated to it and S_POND
be the total value of POND delegated to it.
Let R
be the rewards that are allocated to C
in proportion to its tickets.
Let RF
be the bonus weight factor given to MPond delegators over POND delegators. Set RF
to 2.
Split the rewards so MPond holders get in aggregate
R * S_MPond * 1000000 * RF / (S_MPond * 1000000 * RF + S_POND)
and POND holders get in aggregate
R * S_Pond / (S_MPond * 1000000 * RF + S_POND)
or
or
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