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The WalletConnect Network implements a strategic reward system to incentivize network participants and ensure the network’s growth and stability.

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Reward Allocation

17.5% of the initial token supply is allocated for rewards to incentivize Network participants over the first few years of operations. This allocation is strategically phased:
  • First Year: Only 5% will be distributed to test Network assumptions
  • Subsequent Years: The remaining 12.5% is reserved

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Phased Distribution

The reward distribution is strategically phased to allow for testing and long-term sustainability:
  1. First Year: A conservative 5% distribution to test network assumptions and reward mechanisms.
  2. Subsequent Years: A larger 12.5% allocation, designated as a “flexible incentive” for ongoing distribution.
:::note The larger portion (12.5%) is a “flexible incentive” and may be subject to change to maintain the reward mechanism’s support of Network goals and benefits to all participants. This flexibility ensures that the reward system can adapt to the evolving needs of the Network and its participants. :::

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Purpose of Rewards

The reward system is designed to:
  1. Incentivize active participation in the network
  2. Encourage long-term commitment from participants
  3. Ensure network security and efficiency
  4. Support the overall growth and sustainability of the WalletConnect ecosystem

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Types of Rewards

The Network includes various types of rewards:
  1. Staking Rewards: Participants can earn rewards by staking WCT tokens.
  2. Node Rewards: Service Node operators receive rewards based on their performance and activity.
  3. Wallet Performance Rewards: Wallets can earn rewards based on their performance and certification status.
To learn more about specific aspects of the reward system and participation in the WalletConnect Network, please refer to the following sections: