Staking & Rewards
Orbinum employs a Nominated Proof-of-Stake (NPoS) mechanism to select the set of validators who will produce blocks and secure the network. This system is powered by the Aura and GRANDPA consensus engines.
For a detailed explanation of how Orbinum achieves consensus and finality, see the Consensus Mechanism architectural guide.
Participants
Validators
Validators run full nodes, produce new blocks, and validate transactions. They receive ORB as compensation for their infrastructure and security services.
- Require a minimum stake (defined by the active set).
- Receive block rewards and a portion of transaction fees.
Nominators
ORB holders who do not wish to run a node can nominate trusted validators.
- Share the rewards of the validators they back.
- Bear the risk of slashing if their validator acts maliciously.
Reward Model
30% of the total supply (300M ORB) is dedicated to incentivizing staking during the network's early years.
Reward Issuance
Rewards are distributed per era (Substrate time period) based on:
- Era Points: Points earned for performing validation tasks.
- Total Stake: The total volume of ORB locked in the network.
Transaction Economics
The goal is to maintain economic transactions. Transaction fees are distributed between validators (to incentivize network maintenance) and the Treasury (to fund future ecosystem growth and sustainability), ensuring the network remains viable even after staking rewards are exhausted.
Slashing & Security
To protect Orbinum's integrity, penalties (slashing) exist for validators who:
- Liveness penalty: Being offline for extended periods.
- Equivocation: Signing duplicate blocks or finality messages.
- Invalid block production: Attempting to introduce invalid state transitions.
This ensures that only responsible and committed validators maintain the network.
Ready to participate? Check the Node Operations guide for hardware requirements and setup instructions.