Incentives Overview
Tangle’s incentives come from two sources:
- Service fees paid by customers when they create and run blueprint services.
- TNT incentive budgets funded to the protocol (no automatic minting).
Service Fees
Customers pay for blueprint services using the chain’s native token or an ERC-20 payment token (including TNT). Fees are split between:
- Developer (blueprint owner, or a payout address returned by the blueprint’s service manager)
- Protocol treasury
- Operators (weighted by that service’s per-operator exposure)
- Restakers (delegators who restaked with the chosen operators)
The default split is 50% developer / 10% protocol / 20% operators / 20% restakers, and can be updated by governance.
Restaker shares are routed per-operator to the on-chain ServiceFeeDistributor, which distributes fees to delegators based on:
- Delegated amount (and optional lock multiplier)
- Blueprint selection (
AllvsFixed) - Optional per-asset security requirements and operator commitments (and optional USD normalization via a price oracle)
TNT Incentives (Pre-Funded)
TNT incentives are distributed from a pre-funded on-chain pool:
InflationPoolholds TNT allocated by governance/treasury and distributes it in epochs.- The staking portion funds
RewardVaults, which pays APY-like TNT incentives for delegated assets (with a deposit cap per asset). - Other portions become claimable TNT balances for operators, customers, developers, and restakers.
Metrics and Scoring
The protocol can optionally record activity into a metrics contract (TangleMetrics) using best-effort hooks (failures do not block core protocol actions). Those metrics drive merit-based distributions in InflationPool.
- See Metrics and Scoring for details.