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Offline maqifrnswa

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Introduction to how fees work in BitsharesX
« on: August 05, 2014, 03:56:23 PM »

There seems to be some confusion over how fees work, so I think it could be a good to describe it in one place. If it is already explained somewhere, please let me know and I can put a link in place of this post! NOTE: the numbers are not consistent since I pulled them across different blocks, but they are close. Also, these are the fees as of 8/5/2014. They may change.

When you perform a blockchain operation (e.g., register an account or register an asset), you pay fees. Before paying the delegate, your feels are added to a running total of fees to be paid out. You can see the total running fees that still have to be paid out here:
"blockchain_accumulated_fees": "122,421.75559 BTSX"

Once the fees are added to "blockchain_accumulated_fees", the delegate producing a block will get paid the following fee:
blockchain_delegate_pay_rate=specific_delegate_percentage_pay_rate * blockchain_delegate_pay_rate
where
blockchain_delegate_pay_rate = blockchain_accumulated_fees/(number_of_blocks_produced_in_two_weeks)

the rest of the fees are destroyed and blockchain_delegate_pay_rate is the pay rate when a delegate has a 100% pay rate. This smooths out large investments such as registering assets. The current maximum pay, that is when a delegate as a 100% pay rate, can be seen with the console command get_info:
"blockchain_delegate_pay_rate": "1.01193 BTSX"

Delegate registration fees
are equal to:
(blockchain_delegate_pay_rate * number_of_blocks_produced_in_two_hours)/number_of_delegates

That means that a delegate breaks even if they are a delegate for two hours with 100% pay rate.

This can be seen with "blockchain_get_info" console command:
"delegate_reg_fee": "7.20891 BTSX"

Asset registration fees are based on the total fees delegates should receive over a two week time, which (at this moment) is the same as "blockchain_accumulated_fees" and can be seen with the command "blockchain_get_info":
"asset_reg_fee": "122,320.80000 BTSX"

Hopefully this clears up some of the misconceptions and helps the discussion going forward!
« Last Edit: August 05, 2014, 03:58:42 PM by maqifrnswa »
maintains an Ubuntu PPA: https://launchpad.net/~showard314/+archive/ubuntu/bitshares [15% delegate] wallet_account_set_approval maqifrnswa true [50% delegate] wallet_account_set_approval delegate1.maqifrnswa true

Offline gamey

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Re: Introduction to how fees work in BitsharesX
« Reply #1 on: August 05, 2014, 05:09:13 PM »
Very useful, this would be very good to put in the wiki.  IIRC the fees section is lacking currently. 
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Ggozzo

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Re: Introduction to how fees work in BitsharesX
« Reply #2 on: August 06, 2014, 12:46:03 AM »
So the fees get banked and payed out over time? With a cap at 1.01 BTSX per block, how will we ever realize those gains? When the network of assets start trading I'd expect that total to rise quicker than it's paid out.

Offline bytemaster

Re: Introduction to how fees work in BitsharesX
« Reply #3 on: August 06, 2014, 12:46:50 AM »
So the fees get banked and payed out over time? With a cap at 1.01 BTSX per block, how will we ever realize those gains. When the network and assets start trading I'd expect that total to rise quicker than it's paid out.

No cap... it use to be paid out at 2+ BTSX per block but the rate has been falling as it gets paid out.
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Offline gamey

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Re: Introduction to how fees work in BitsharesX
« Reply #4 on: August 06, 2014, 10:22:56 AM »
I speak for myself and only myself.

 

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