Incentives for node operators – stake withdrawal mechanism, neighbourhood hopping and network balance
The upcoming Bee 2.2 release will introduce an important stake withdrawal mechanism as well as the so-called neighbourhood hopping feature, considered as improvement proposals – Swip 20 and 19 respectively.
In the past, node operators had to lock 10 BZZs without being able to withdraw them, which created opportunity cost and an attack vector. The new system introduces the concept of 'committed stake':
- The minimum requirement (it will likely remain 10 BZZ) now corresponds to a committed stake, which is based on the current price of storage in the network.
- If the BZZ price rises, the operators can withdraw the surplus share and thus benefit from the price increase. If the BZZ price falls, the operators are protected.
"We are only there to give you the benefit of the upswing. We're not taking anything away from you if it goes down,"
Callum Toner from the Research Track added. This change aims to make operating a node more attractive and flexible for long-term participants.
Another such feature aimed at improving the node operators’ experience, while also allowing for improved overall network performance, is the upcoming Swarm Improvement Proposal for neighbourhood hopping, presented by Niki Papadatou.
This will allow staked nodes to move between neighbourhoods, increasing their chances of earning rewards. The solution comes at a time when the network is extremely overpopulated in some neighbourhoods (100+ nodes), while others are virtually empty (up to two nodes), while Swarm is experiencing noticeable growth with more than 20k nodes now in the network.
The release of Bee 2.2 will allow node operators a lot of movement with the aim of balancing the network better. Of course, node operators will have to do some work, such as using statistics to decide if and where they should “hop” to for optimal rewards.