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Node Rewards ​

Types of Rewards ​

We'll categorize these rewards as follows:

  • Gas Fees
  • BGT Inflation
  • Block Captured Value

Gas Fees ​

These are the traditional EIP-1559 fees that Ethereum has. When a user submits a transaction, there is a base fee & a priority fee. The base fee is burned, and the priority fees are a β€œtip” to the validator and their delegators.

Validator Receives: Commission % of priority gas fees

BGT Inflation ​

New BGT is created every block based on the inflation rate of Berachain. This BGT is sent to the liquidity providers of certain BEX pools based on the total amount of new BGT emissions voted towards them by validators this epoch.

Validator Receives: Commission % of BGT inflation

Block Captured Value ​

These are fees that come from the native DApps of Berachain: BEX, Honey, Perps.

Certain transactions within each of these DApps will incur a fee that is passed on as the Block Captured Value (BCV). This means that any time a validator includes one of these fee-incurring transactions in their block, they’ll be earning that fee as a reward.

Validators take a % of the BCV via commission, then the rest is passed onto BGT delegators.

BEX Fee ​

When a user performs a swap, a % of the swap fee will be taken as part of the BCV.

Honey Fee ​

When users move between USDC β†’ Honey or Honey β†’ USDC, there is a fee taken. This fee is used to help buffer the peg, however, a portion of this fee will be taken as BCV.

Perps Fee ​

The Perps exchange takes fees from a variety of different transactions that a user takes. These fees are then given out as BCV.

Validator Receives: Commission % of all BCV fees

Claiming Rewards ​

As a validator, rewards can be claimed as follows:

Option 1: Precompile Contracts ​

In order to claim rewards, interact the Distribution Precompile Contract.

shell
cast send $DistributionPrecompile "withdrawDelegatorReward(address,address)" [delegator-addr] [validator-addr]
cast send $DistributionPrecompile "withdrawDelegatorReward(address,address)" [delegator-addr] [validator-addr]
  • DistributionPrecompile is the Distribution Precompile address (Precompiles Addresses)

  • The function signature can be checked at here

  • delegator-addr: The delegator to withdraw the rewards from.

  • validator-addr: The validator (operator address) to withdraw the rewards from.

Example:

shell
cast send 0x0000000000000000000000000000000000000069 "withdrawDelegatorReward(address,address)" $DELEGATOR $VALIDATOR --private-key=$PK --rpc-url=$RPC
cast send 0x0000000000000000000000000000000000000069 "withdrawDelegatorReward(address,address)" $DELEGATOR $VALIDATOR --private-key=$PK --rpc-url=$RPC

Option 2: BGT Station - My BGT ​

To claim rewards directly via web. Visit BGT Station and click on "My BGT" located on top left corner to check and claim your BGT rewards!

MyBGT Rewards