Rapid increase of validators

I get the feeling that we’re seeing a quite rapid increase in the number of validators in the network. Which unfortunately increases the epochs time for us, node operators. I know about the upcoming changes, but what I am wondering (in the spirit of decentralization), is if there is any data on how many nodes that the Incognito team operates at this point? What I am referring to is the new easy-staking-we-host-your-node program that rolled out.

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Do you know approximately how many validators there were before the easy staking service was introduced? I feel like it was ~1800.

It’d be great to know the ROI on average depending on the number of validators. The devs referenced 40% p.a. before running costs when validators were ~2500.

If I remember correct during the slashing we dropped down to between 1700-1800 yes. Today there are 2119 validators. That’s an increase of over 20% in just a few months, in reality that means a 20% loss of node operator income.

I’m curious regarding this increase. Is it because we have attracted more people running nodes (which is good for decentralization), or is it because of easy-staking (which in theory could be seen as more incognito team-operated nodes).

Regarding ROI. According to my statistics, at the moment a node does 2.41 PRV/day (roughly $72/month). But it is decreasing every month. At the same time, we’ve seen a halving of PRV value, which makes calculating true ROI quite dark. :smile:

I’d hoped for releasing fixed committee nodes, as it would’ve increased community earnings. Instead, we’re getting more committee slots which means (correct me if I’m wrong) lesser individual reward per epoch, but shorter pending queues? In other words, more CPU usage for the same reward?

The price falls in PRV definitely have made it difficult for validators when you convert it all back into fiat returns. I’d point out though that prior to slashing there were around 2500 nodes (equates to ~1.91 prv per day per node) with ~800 of them being completely faulty and earning PRV effectively for free. If AVG earnings now are 2.41 it’s way better than it was prior to slashing and now opens up the possibility of more community slots.Ironically the slashing probably annoyed a lot of noobs who thought they should get PRV rewards without fulfilling their role.

I think you’re correct that this will lead to reduce block rewards but earning more frequently. 16 new slots versus 7 reduced from the fixed allocation seems like a better option if you’re a validator on the face of it though I suspect, if the additional slots came from the fixed allocation, block rewards wouldn’t reduce? Is that the case?

Hopefully with the renewed marketing push and the advent of pdex v3, you start to see PRVs price increase again. I’m encouraged by the last couple of months and aside from the yield aspect, I enjoy supporting the project in this capacity rather than simply purchasing the coin.

Also depends for validators what their cost base is. I figure there’s some people got in at a really good entry point when validation first started.

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Yeah from the $/PRV standpoint, I went all in at the totally wrong time. I’m quite deep down the hole at the moment. But that’s on me, I don’t regret it, because I’ve had fun with my node experiments, scripts and monitoring. I will keep supporting the network both with full and validator nodes. Tomorrow it’s time for another validator, exactly according to my spread sheet schedule. Eventually I might even make a profit. :stuck_out_tongue:

Yeah, I’ve had to do some math gymnastics trying to figure this out. I’m not sure if I just ended up confusing myself. :relaxed:

If the total block reward stays the same, increasing slots just result in being in committee more often without earning more. This means higher CPU/PRV for a node operator but no gain.

At the same time, if the fixed allocation is not increasing, it also means that the Incognito team gets a smaller % of the total reward. To make that equation work, the community nodes still get some gain from this change, although not as much as if the fixed slots would have been reduced or given to node operators.

Circling back to the original question. If we’re seeing a huge increase in Incognito operated nodes through the new staking function, that’s a step towards centralization again, because I am guessing you’re basically putting all those nodes in the same AWS center or something? :smirk:

I would eventually like to see no fixed nodes at all, because IMO they break the fairness and decentralization aspect of the network, as they are never slashed they keep getting a fixed reward even if they are turned off. But I understand that 2000 nodes, with the current PRV valuation, is nowhere near enough to secure the network.

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Yeah I agree with all those thoughts. @alias did mention though in a recent post that it’s unlikely the fixed nodes would fully disappear.

I’m not so phased by this personally, especially since it ends up funding other stuff (i.e the pdex token / prv pool) but their level of dominance should be much lower going forward to keep in the spirit of decentralization.

Nonetheless hope @Jared can find out the answer to your original question.

Reinvest all the way to recovery, I’m doing the same :smile:


I have pretty detailed records of ROI and earnings over the past year or more on Node Earnings Statistics - Updated 12/25/21


Thank you @Mike_Despo

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Looks like your numbers and my numbers corresponds at the moment, that is good. :grinning:

For November I had 16.9 PRV/week and December is 16.2 PRV/week. I have not recorded in details like you have, I would have to build that data retroactively. If I can figure out how to extract validator earnings from the blockchain.