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105 changes: 105 additions & 0 deletions 0006-reward-ramp-for-packets.md
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- Start Date: May 21 2020
- HIP PR:
- Tracking Issue:

# Summary
[summary]: #summary

Data Packets are already transferring on the network. Once the price oracle is in place, users will be able too burn HNT and generate Data Credits, use DC to send packets on the network, and Hotspots routing those packets will earn a reward in the form of HNT.
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Data Packets are already transferring on the network. Once the price oracle is in place, users will be able too burn HNT and generate Data Credits, use DC to send packets on the network, and Hotspots routing those packets will earn a reward in the form of HNT.
Data Packets are already transferring on the network. Once the price oracle is in place, users will be able to burn HNT and generate Data Credits, use DC to send packets on the network, and Hotspots routing those packets will earn a reward in the form of HNT.

Nit

This share is expected to be 30% of HNT per month, which is a large amount and can be easily gamed.

This proposal is to recommend a ramp up to 30% over a period of time to prevent undesirably gaming behaviour.
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What's the actual recommended ramp up and over what period of time? How does this conflict/work with the total ramp down of token distribution for PoC over the many year scale in the token distribution plan.


# Motivation
[motivation]: #motivation

Why are we doing this? What use cases does it support? What problems does it
solve? What is the expected outcome?

In the early days of data transferring on the network, it is expected that less devices will transact, and the Hotspots transferring data will earn a larger portion of the rewards (30%) as set out in https://www.dewi.org/tokens.
This proposal is to ensure token distribution is fair as device usage grows and in accordance to the work a Hotspot does.

# Stakeholders
[stakeholders]: #stakeholders

* Who is affected by this HIP?
Hotspot owners
Decentralized Wireless Alliance


* How are we soliciting feedback on this HIP from these stakeholders? Note that
they may not be watching the HIPs repository or even aren't directly active in
the Rust Async Ecosystem working group.
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the Rust Async Ecosystem working group.
the Helium community.


We will be discussing the HIP in community slack

# Detailed Explanation
[detailed-explanation]: #detailed-explanation

- Introduce and explain new concepts.
There has been a few suggestions on how we can do this. Those include a slow ramp up to 30% with an increase of n% every n blocks.

- It should be reasonably clear how the proposal would be implemented.

- Provide representative examples that show how this proposal would be commonly
used.

- Corner cases should be dissected by example.

# Drawbacks
[drawbacks]: #drawbacks

- Why should we *not* do this?

# Rationale and Alternatives
[alternatives]: #rationale-and-alternatives

This is your chance to discuss your proposal in the context of the whole design
space. This is probably the most important section!

- Why is this design the best in the space of possible designs?

- What other designs have been considered and what is the rationale for not
choosing them?

- What is the impact of not doing this?

# Unresolved Questions
[unresolved]: #unresolved-questions

- What parts of the design do you expect to resolve through the HIP process
before this gets merged?

- What parts of the design do you expect to resolve through the implementation
of this feature?

- What related issues do you consider out of scope for this HIP that could be
addressed in the future independently of the solution that comes out of this
HIP?

# Deployment Impact
[deployment-impact]: #deployment-impact

Describe how this design will be deployed and any potential imapact it may have on
current users of this project.

- How will current users be impacted?

- How will existing documentation/knowlegebase need to be supported?

- Is this backwards compatible?

- If not, what is the procedure to migrate?

# Success Metrics
[success-metrics]: #success-metrics

What metrics can be used to measure the success of this design?

- What should we measure to prove a performance increase?

- What should we measure to prove an improvement in stability?

- What should we measure to prove a reduction in complexity?

- What should we measure to prove an acceptance of this by it's users?