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Node Provider Deposit
- A key fundamental belief with MassBit is that everyone should be able to join and help run MassBit’s dAPI infrastructure, not just the corporatized Node farms and big entities working in the space. The problem that arises is that Node Provider deposits are required to prevent network attacks. As a result, MassBit's next phase offers partial deposit, allowing for Node Providers to immediately begin contributing to network growth while working to fulfill their deposit requirements.
- When joining the MassBit network, Node Providers are required to deposit a certain amount of fiat as collateral in order to participate and earn rewards. If a Node fails to meet its obligations, or if the network suffers from a major bug or attack, the Node Provider may face penalties or lose their deposit. The use of a deposit as a security measure is a practice designed to encourage responsible behavior and discourage harmful activity. By requiring Node Providers to make a deposit, MassBit’s decentralized infrastructure creates a more secure network for all participants.
- Amount deposit required for Node / Gateway
- Node: $300
- Gateway: $30
- However, Node Providers are NOT required to have the full deposit amount available upfront. Once a Node or Gateway becomes active in the MassBit network, 25% of the monthly NP reward will be deducted until the full deposit amount is paid off.
- This approach provides some flexibility, allowing Node Providers to immediately begin participating in the network and earning rewards while they work to fulfill their deposit obligation. It also incentivizes responsible behavior and provides a mechanism for the network to cover costs in the event of damage or breaches of the agreement.