Validation Example

Here is an example using $SLEEP as a data token, though the specific data token will vary depending on the dataset.

[1] Initial Data Assertion: A data producer submits a data point along with a stake of 128 $SVN. This stake is an assertion of the data's accuracy.

[2] Verification Staking: Validators stake $SVN if they believe the data should be accepted and are then eligible for a pro-rata portion of the $SLEEP block rewards.

[3] No Dispute Acceptance: If no objections are raised within one day the data is accepted.
[4] Stake Return: The data producer gets their $SVN back.
[5] Producer Rewards: The data producer gets ~2048 $SLEEP based on the bonding curve
[6] Validator Rewards: Validators that voted to accept the data receive pro-rata shares of 128 $SLEEP block rewards. For example if Validator A stakes 96 $SVN and Validator B stakes 32 $SVN, then Validator A will receive 96 $SLEEP and Validator B will receive 32 $SLEEP.

[7] Dispute Initiation: However, if any validator disputes the data's accuracy, they can initiate a dispute by staking 64 $SVN. This action challenges the initial approval and prevents the data from being accepted into the dataset for at least 2 days. The data is now in a rejected state. By default if nothing happens the data will be rejected.

[8] Response to Rejection: To counter a rejection, another validator can support the data by staking 32 $SVN. This stake challenges the rejection and also puts the data in an accepted state for 4 days, allowing more time for further validation or challenges.
[9] Further Dispute Escalation: If the data's validity is still in question, the stakes can continue to escalate. For example, a subsequent stake of 16 $SVN within 4 days of the original challenge can once again shift the decision, pushing it towards rejection or acceptance based on the new stakes and validations that come in.

[10] Decision Threshold Reached: The pool has reached 240 $SVN and now the decision is up to the curator to accept or reject the data.
[11] Curatorial Evaluation: The curator evaluates all stakes, claims, and disputes to make a final decision if the data should be accepted or rejected. If the curator decides to accept the data, the data producer retrieves their initial 10 $SVN along with 2048 $SLEEP based on a bonding curve. Validators who supported the data's acceptance share in the block rewards.
[12] Curator Compensation: For their work the curator gets 24 $SVN.
[13] Correct Support Redistribution: If the curator decides to accept the data after reaching the threshold, validators who supported the data's acceptance receive a pro-rata distribution of the $SVN staked by those who incorrectly challenged the data’s accuracy.

[14] Rejection Redistribution: If the curator rejects the data or if no counterclaims are made from disputes in [8] or [10] and the data is rejected.
[15] Pro-rata Redistribution on Rejection: The data producer [1] loses their initial stake of 128 $SVN. This stake, along with the $SVN from validators who supported the data’s acceptance, is redistributed to the validators who successfully challenged the data’s accuracy.
[16] No Reward Issuance: If the data is rejected, no $SLEEP rewards are issued, ensuring rewards are only linked to verified, accurate data.

Last updated 1 month ago