In preparation for the launch of its mainnet, the IOST ecosystem is holding an ERC20 election. Its revolutionary election approach seeks to bring in a high number of people from diverse backgrounds to join the ecosystem and participate in building it.
Objectives of the IOST ERC20 Election
Among the key objectives of this exercise is the establishment of the network’s initial node ecosystem. Additionally, the election also targets inexperienced parties interested in contributing to the network in other ways. As such, there is no entry barrier for qualification and no upper limit on the number of applicants.
Candidates who succeed in the elections will have varying roles in securing the network and making contributions to the overall growth of the ecosystem.
Servi Nodes and Partners
The network hopes to attract hundresds or even thousands of successful candidates from all corners of the world to work either as Servi Nodes or Partners. Servi Nodes will consist of people with the technical expertise required to run full network nodes. They will participate in block production and validation of transactions after the mainnet launch.
Partners, on the other hand, will not require any technical knowledge or server operation expertise. They can serve in roles such as game and DApp development, communication, promotion, marketing and social media among other roles. IOST will offer full support and training to all successful candidates who lack technical expertise.
Successful candidates will have the option of switching between roles, from being Partners to Servi Nodes. In such cases, the project team will provide all necessary training to allow them to operate independently in running their own nodes and producing new blocks.
Requirements for Participation
In order to participate in the IOST ERC20 elections, a candidate requires at least 2.1 million votes from community members. Reaching this target would need approximately 100 voters if each one has tokens worth $150 (at todays prices).
Voters simply need to hold IOST ERC20 tokens and vote them for the nodes they want to see becoming part of the network. After creating a wallet and depositing tokens, they can check the election portal to select a candidate and cast a vote.
The process started off on December 21, 2018 when applications opened officially. On January 14, 2019 the network officially opened the voting portal and also launched the IOST global partnership program. Voting will continue until February 25, 2019 when the IOST mainnet officially launches and the network automatically switches from ERC20 to its own native token.
Incentive Scheme for All Participants
Candidates who manage to raise the required minimum votes during the elections will qualify for a number of reward schemes.
Successful Candidate Rewards
Shares in Network Reward Pool
Winning candidates will get to share 75% of the IOST reward pool. This reward pool consists of 4% of the network’s total supply of 840 million tokens. Half of this amount is from the ecosystem fund while the other half is the token issuance amount.
The reward amount will depend on the total number of votes a candidate receives and the contribution they make to the ecosystem. Half of the tokens they earn will go to their voters.
User Invitation Rewards
Both Servi Nodes and Partners will also qualify for user invitation rewards. For every new user they invite to the platform, they will get 30% of their fees. Such fees include account creation costs, iGAS rewards and iRAM fees.
Servi Nodes will get block rewards for the production and validation of new transaction blocks. Their participation in this role will depend on the number of votes they manage to get during the elections. They will then qualify to get 25% of the reward pool, with individual amounts varying depending on the number of votes and the rate of block production.
Early Bird Reward
Voters will get a 25% annualized return on the token amount they stake during the ERC20 election period, calculated on the basis of the duration they stake their tokens.
Those whose candidates succeed to become Servi Nodes or Partners will get an ongoing 50% share from the successful candidates’ rewards.
The IOST ERC20 election is a zero-barrier process for both candidates and voters. It will remain open until the launch of the mainnet. On March 10, 2019, the ERC20 tokens that participants use for voting will automatically swap to mainnet tokens.