Pre-TGE Subnet Points FAQ

What do I earn as a subnet owner?

You earn points from three sources:

1. 10,000 points per day (baseline)

2. Size rewards (X pool) — 160,000 points every 10 days

3. Usage rewards (Y pool) — 240,000 points every 10 days

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How do I get daily rewards?

Just stay active.

Every active subnet automatically earns:

10,000 points per day = 100,000 every 10 days

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What are X and Y?

X = Size-based Rewards

Based on the NEW size/stake/capacity of your subnet.

Bigger or more committed subnets rank higher.

Y = Usage-based Rewards

Based on the amount of traffic your subnet processes in that period.

More usage → higher rank → more points.

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How are X and Y rewards distributed?

Every 10 days:

1. Subnets are ranked from best to lowest in:

2. size (for X)

3. usage (for Y)

4. Higher ranks get more points.

5. Lower ranks still get something — no one gets zero.

Example:

• Rank 1 gets the biggest share

• Rank K gets the smallest share

• All 160k (X) and all 240k (Y) points are fully distributed

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What does ranking look like?

The system works like Formula 1:

• Rank 1 gets the most points

• Rank 2 gets slightly fewer

• Rank 3 gets slightly fewer…

• Rank K gets the smallest share

This ensures:

• Performance is rewarded

• But no subnet can take everything

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How do I improve my X rewards?

Increase your subnet size, for example:

• Stake more

• Increase subnet depth/capacity

• Expand your subnet’s data footprint

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How do I improve my Y rewards?

Increase your usage, for example:

• Process more queries

• More people query your subnet either directly on indirectly

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Does the top subnet take the majority of points?

No.

The system is explicitly designed to avoid “winner takes all.”

As more subnets join:

• The percentage share for the top subnet automatically shrinks

• All subnets always get a share of the bonus pools

• Everyone receives the 10k daily baseline

• Rewards reset every 10 days for that epoch

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What happens if my subnet goes offline?

If you fail the uptime/activity threshold:

• You miss that day’s 10k

• You are excluded from X and Y

• Active subnets receive your share instead

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How often do I get paid?

• Daily: 10,000 points

• Every 10 days: X + Y bonus rewards based on rank

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Is this permanent?

This is the pre-TGE system.

Later phases will introduce:

• staking tiers

• slashing

• burn mechanics

• token rewards

• Increased points pools