Governance System

Governance System

Validators: Platform Activities and Benefits

Validators stake TEL to participate in PoS consensus, operate a validator node to create and verify new blocks to Telcoin Network, and earn TEL gas fees, issuance when they secure a block to the blockchain.

Validators: Platform Activities

Role: Blockchain security

  • Activities: Stake TEL to participate in proof of stake consensus (PoS), operate a validator node to create and verify new blocks to the Telcoin Network blockchain.

    • Consensus Mechanism: Proof of Stake (PoS)

  • Overview: Validators stake TEL to participate in PoS, which incentivizes honest participation through graduated sanctions, or “stake slashing.” Up to a maximum threshold, the quantity of TEL a validator has staked increases their probability of securing a block to the chain.

    • Validators: Platform Benefits

  • TEL Fees: Income from blockchain network fees (“gas fees”)
    • Gas Fees: Earn gas fees, paid in TEL by users to transact using the network, from each block they secure to the Telcoin Network blockchain.
      • Base Fee: A portion of gas fees in each block are regenerated by Telcoin Network in equal quantity to the TEL Treasury.
      • Priority Fee: Users can choose to pay an extra “fee” that increases the likelihood that their transaction is included in the next block.
  • TEL Issuance: Income from TEL issuance on Telcoin Network.

    • Validator: Technology used

    The private technologies Validators use to interact with the system.

  • TEL consumption use: Validators exchange TEL for other assets using TELx liquidity pools, and pay TEL gas fees on Telcoin Network to have their transactions included in blocks and secured to the blockchain.
  • TEL production and harvesting use: Staked TEL is required to participate in Proof of Stake consensus, ensuring honest computation at risk of stake slashing and an individual validator's stake weight relative to other validators determines their earning power.
    • TEL Earning Power: The quantity of TEL staked by a validator determines the probability they will secure a block to the blockchain, increasing:
      • TEL Harvesting Levels: The quantity of TEL issuance they earn over time.
      • TEL Fees: The amount of fees they harvest from block production over time.
    • TEL Fees and Issuance Income
      • TEL Revenue: Validators earn gas fees in TEL, harvest TEL issuance flows.
  • TEL social use
    • Political Power: Validators’ power within their Miner Group in Telcoin Platform governance is based on their pro-rata share of TEL staked for PoS consensus on Telcoin Network. This influences their proposal and voting power in Council Member selection processes and constitutional-choice decisions that affect that governance system rules.
  • Authorized Wallet Address: Validators participate in PoS, earn rewards, vote in governance and secure their validator master key from a wallet address that has been authorized by the Compliance Council.
  • Node Infrastructure
    • Storage requirements: 2 TB
    • Memory requirements: 64 Gb
    • CPU requirements: 16 cores 45MB Cache, up to 4.7 GHz (based on Intel Xeon W5-3435X)
    • Network Bandwidth: 30Mbps upload / download

    • Validator: Infrastructure Involved

    Validator interact with and depend on the following Telcoin Platform components to produce and consume platform services and earn benefits.

    Telcoin Network Infrastructure

    Infrastructure TypeComponents
    Block Production Facilities

    The blockchain systems involved in the production of blocks and other blockchain goods and services.    		• Mempool Protocol: Narwhal
    • Consensus Mechanism: Bullshark
    · Ethereum Virtual Machine: Execute transaction data
    • Quality-of-Service: Independent fee markets based on transaction categories
    • Gas Tokens: TEL
    • Bridges: Share digital assets across chains
    · Immutable Distributed Ledger: A real time, transparent, cryptographically-secured and verifiable record of all transactions, ownership, and ownership history.
    Storage Facilities: TEL

    The facilities that store TEL inventories within the system prior to allocation, distribution, and extraction.
    • Telcoin Network Distribution Safe: A temporary storage facility controlled by the TAO used to store and distribute TEL issuance to staking contracts for Validators to harvest during block production.
    Extraction Facilities: TEL

    Infrastructure involved in the calculation and extraction of TEL units from the system by miners.
    • Telcoin Network Issuance Contract: Automated distributed issuance to validators on a per block basis. Stores TEL on main net that validators can harvest each time the produce valid blocks (block rewards).
    TEL Destruction and Regeneration Facilities

    Systems involved in the destruction and regeneration of TEL units to the TEL Treasury.
    • TEL Burn Mechanism: Transfers a percentage of gas fees contained in each block to a burn contract, where any TEL sent to that address are destroyed and replenished in equal quantity to the TEL Treasury.