How To Use The Incentive Calculator | by Josh | Silos | March 2022

A step-by-step guide to calculating transaction costs on the Sylo network.

The calculator has two sections, Inputs and Results.

In the Inputs section, you can describe your node and the circumstances under which your node will run.

Then, in the results section, your node’s financial performance under these circumstances on Ethereum and CENNZnet is displayed. This allows you to compare your node’s performance on both networks.

Submissions:

In this section, you describe both your own node and the rest of the Sylo network. Rather than deciding these values ​​for you, we’ve set up the calculator so you can test your node in the situations you think are most likely.

Your node

You need to decide how much SYLO is staked on your node.

This includes both your own staked SYLO (Knot Runner Stake), and the participation of other network participants who have decided to support your node (Delegated attendance).

You can use the slider to explore or enter exact amounts by selecting “Custom”.

Sylo Network Settings

You need to decide two things:

1. the Total network participationwhich determines how much of the overall network your node represents – and therefore how much work it will do and how much revenue it will earn from it.
2. the Weekly Network Revenuewhich is determined by the number of relays the network performs each week, as well as the incentives of the network.

You can use the slider to explore or enter exact amounts by selecting “Custom”.

Results: simple view

This section shows the profitability of your node on CENNZnet vs Ethereum. This is expressed in two numbers:

1. The APY (Annual Percentage Yield) of your node is displayed for you, the node operator, and for your node’s delegate stakers. APY is the return on investment that your Sylo node will provide to people who invest their Sylo in it.
2. Your node’s weekly profit, after on-chain expenses (such as gas costs), for both the node operator and delegated responders.

Insert some sort of summary/closing here, with optional additional information below

Results: advanced view

This provides a more detailed breakdown of your node’s revenue and costs.

The Revenue section shows the node’s overall revenue from running the relay, before it is split between the node runner and the delegate stakers.

The Expenses section displays the node’s expenses, from the node manager’s perspective. This includes the blockchain costs the node must pay to participate in the network and the revenue the node shares with its delegated partners.

By comparing on-chain costs, you can determine, for example, how much more expensive it is to run a node on Ethereum, compared to our new chain, CENNZnet.

This information is displayed for the currently selected network — initially this is CENNZnet.

The toggle above can be used to change the selected network. Also, you can choose to see weekly, monthly, or yearly information using the second toggle.

Inputs: Advanced Settings:
The advanced settings section contains other entries that you can optionally control by selecting “Custom”.

These parameters come in two versions:

1. Sylo Network smart contract settings that affect contract gas costs. They default to sensible values ​​- we include them so advanced users can explore the different ways contracts could be set up on Ethereum to mitigate gas costs.
2. External factors, such as exchange rates and Ethereum gas prices. These default to the current price, but can be changed manually to explore “what if” scenarios.