Incentives Overview
Platform Overview
Tangle Network is a platform designed for software monetization where developers can deploy software and benefit from its long-term utility. The platform operates as a marketplace where developers create Blueprints that customers can instance, generating ongoing revenue streams through usage fees and rewards.
When a Blueprint is instanced, the generated fees are automatically distributed between the Blueprint developer (50%), the Tangle protocol (20%), and the operators and restakers securing the service (30%). This distribution model ensures all participants are properly incentivized while maintaining platform sustainability.
Core Economic Mechanisms
The network's economic model is built on three primary mechanisms: transaction fees, proof of stake rewards, and restaking incentives.
Transaction Fees
TNT serves as the base asset for all network transactions, including EVM execution, Blueprint creation, and instance deployment. While transaction fees are required for network operation, the protocol may subsidize certain activities during initial phases to encourage adoption.
Proof of Stake Security
The network operates on a nominated proof-of-stake consensus mechanism where validators and nominators work together to secure the network. Validators earn native rewards for block production and consensus tasks, while setting their own commission rates. Nominators can stake TNT to support validators and receive pro-rated rewards, with the current network providing approximately 4-5% APY combined.
Restaking Infrastructure
Tangle's restaking system creates an efficient marketplace between developers, operators, and restakers. Restakers can earn base rewards by depositing TNT and boost their earnings through longer lock periods. Operators run Blueprint instances and earn fees from service execution, while maintaining high performance standards. Blueprint developers benefit from custom reward distributions and long-term adoption of their services.
Blueprint Economics
The protocol enforces a transparent fee distribution model between developers, operators, restakers, and the underlying Tangle protocol.
- 50% goes directly to you as the blueprint developer
- 30% is allocated to operators and restakers through the Boosted TNT restaking mechanism
- 20% flows to the protocol treasury for ecosystem development
TNT remains the primary restaking asset required for all Blueprint instances. Developers can incorporate additional approved assets for enhanced security. Through programmable distribution mechanisms, developers can customize fee allocations while maintaining protocol alignment.