Every block distributes tao and alpha into every subnet.

See Subnet Emission tao and alpha for details.

alpha_out distribution

Each subnet's incentive mechanism breaks down the distribution of the Subnet's alpha_out to the active participants of the subnet. There is 1 alpha_out every block.

• Subnet Owner: The subnet owner receives 18% of the emissions. (0.18 alpha)
• Miners Miners split 41% of emissions. (0.41 alpha)
• Validator Validators (and their stakeholders) split 41% of emissions. (0.41 alpha)

Individual Miner rewards

• Miners are awarded emissions based on their incentive score.
• The sum of incentive across all of the validators in a subnet is equal to 1.
• incentive is updated every tempo (generally 360 blocks).
• Miners receive alpha_out * .0.41 * incentive *360 every tempo.

See Emission for Minersfor more details on how incentive is awarded to miners.

Individual Validator rewards

• Validator rewards are split between the validator and their stakeholders.
• Validators with higher VTrust and higher stake (both root and alpha) will receive higher rewards.
• Parent/Child Hotkeys play a role in how how validator rewards are returned.
• Validator rewards are returned in tao and alpha, as stakeholders can hold Root and Alpha stake.

See Emissions for Validators for detail on how incentive is awarded to validators.