Adjustment of Altair collator rewards

We are talking about Altair. Just now, as you already mentioned the Altair collator’s monthly reward is 25$.
Yes, I think that 25000 AIR as a monthly reward for Collators is not acceptable right now.
25000 AIR * 10 collators = 250 000 AIR /month
Or 3000000 AIR a year.
I highly doubt that this reward rate will benefit Altair Ecosystem.

In absolute terms, it’s quite a lot but relatively speaking it’s still a small portion of the total supply.

Total supply - 470,000,000 AIR
Yearly collator reward - 3,000,000 AIR
That accounts for 0,6% going to collators which is actually not that much in comparison to other networks.

But there are two things to note - this number will decrease when market conditions get better (and that can take less than a year). Also, if this is the price for having enough decentralization and liveness for the parachain, it should be accepted - having operational cost in the range of $150-$200 is definitely not an exorbitant amount of money and we also give up on any profit in order to support the network in these hard times.


Based on the feedback of the collators and their running costs I believe collator rewards of around 20K-25K AIR are not unrealistic especially when we take the current price of AIR (around 1 Cent) into consideration.
We have already roughly 83% of the total supply of AIR in circulation which were distributed mainly for the airdrop and as CL-rewards.
Increasing the supply for collators, who are one of the core pillars of the ecosystem, should be considered


Good day Tjure07
I just expressed my personal opinion as community member. My opinion could be wrong, could be partial or in fully wrong.
I-m not a Team member, i-m not a Collator/Validator nor i`m Councillor.

So my feedback is just feedback.

If @pmensik or whenever else would like to change or propose something new:

  • Altair Collators Rewards changing

They could prepare the proposal with all changes, numbers and notes and Altair Councillors will discuss this with approval or refusal of this proposal.

If Pmensik or anyone else need help with the correct posting, feel free to contact me or @Rhano. I will be glad to help.

I`m also very glad that Pmensik started this discussion, because this is the first step that should be done in any governance process → Discussion on the Forum. :pray:


Thank you :slight_smile: I would wait for other collators to voice their opinion here and then we can move forward with the proposal

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Ciao, thank you and that’s what I did too :handshake:

Great remark and that’s exactly how governance should look like. Identifiying a topic of interest, putting it into the forum to gather opinions and comments to use it as a temperature check for further proposals :clap: :raised_hands:


Hey All…

Thanks for posting about this topic, @pathrock.

We’re currently paying 12.79 Euros (or about $14 USD) per month for our collator setup. We’re using Contabo’s VPS M setup:

Fairly cheap and gets the job done.

When Altair starts to realize some serious network activity, I don’t think this setup will be good enough. But for now, it works.

Cheers all!

Matthew @ Good KarMa


Thank you Marcus for your feedback.

Hey Marcus,

honestly, I don’t feel it’s a good idea to run a mainnet node on Contabo (on any VPS) in general. We have some testnet and backup nodes on Contabo and we have experienced quite a lot of maintenance outages (even for a couple of hours), not to mention really bad performance. Substrate nodes are heavily dependent on CPU single-core performance in order to construct and propose blocks in a short period of time (500ms) and running the nodes on VPS means you can miss blocks quite often when it’s your turn to create one - I would be interested in what your monitoring says about it.


I agree with you, @pmensik, but as you pointed out the current Altair rewards don’t justify the costs. If we were rewarded $150-$200 / month for providing collator services, we would certainly consider different hosting solutions such as on a bare metal box with the specs you mentioned above.

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Yeah, in case of Altair I think poor performance can be fine. However, outages are not and that’s something that is really hard to prevent if you run on VPS.

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We’ve not had any outages with our VPS on Contabo thus far. Service has been good and reliable.

But I agree, it’s best not to be on a VPS if possible.

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StakeCraft agrees with you @pmensik
You have our vote.

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A block reward was proposed for centrifuge parachain, as far as I can tell the same hasn’t been proposed for Altair? Maybe this can be implemented for Altair collators as part of the solution

That would be interesting to know as it is probably an ideal solution. On the other hand, Altair collators kinda struggle with low rewards for the last couple of months and they have never actually been profitable so I would be afraid whether this can be done in some reasonable timeframe.

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The plan is to implement the same mechanism on Altair as described in this reply.

Meanwhile, I personally think it makes sense to adjust the rewards until it is implemented on Altair as long as the rewards are made manually as monthly Treasury proposals on Altair.

cc. @pmensik @pathrock @n1trog3n @TheMarcus @Ilhan


Seems like a worthy solution to at least discuss further.

Good day TheMarcus
Agree with your point.

I think that the best way is to agree on the amount first that will be proposed to Altair Collators.
And Altair Collators will decide if they will accept or not yet with the proposal.

Without a clear and precise amount, I think will be hard to make a decision.

Hello, so I have prepared a spreadsheet that calculates an average price for a collator. Now it accounts for $150/month which is pretty reasonable given what collators stated here in this chat.

Also I would suggest calculating a 90-day price average for AIR and basing rewards on that - and re-evaluating every 90 days so the rewards stay the same no matter the cost of the AIR token.

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Diky! As you recommended, could you please insert a column for the average AIR-token price too?

@Ilhan can you please add your approximate costs for running a node in the spreadsheet?

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Hey, sorry for the late reply and thanks for the ping.

I just requested access to the excel sheet.
But our machine cost ~48 usd. I agree to the maintenance price, not sure what the fixed price entails?

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