RFC-008: Variable member rewards based on uptime

proposals/008-variable-member-rewards-based-on-uptime.md

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+# RFC-008: Variable Member Rewards Based on Uptime
+
+## Summary
+We propose moving to a variable reward structure where payments to IBP members are based on service uptime. This incentivizes consistent performance, penalizing downtime, and transitioning to an IaaS pricing model for each service provided.
+
+## Details
+Currently, members receive fixed payments based on their level, regardless of downtime. We suggest switching to a model where members are paid for the time their services are online, with deductions for any periods of downtime. The IBP-geodns tool will track uptime by monitoring each member’s services across three DNS/monitor servers. If all three servers (or some percentage of a larger group) detect downtime within a 1-hour window, the member is considered offline for that hour, losing 1/24 of their daily pay.
+
+We will track pricing information for each protocol (e.g., Polkadot, Kusama) via a JSON file stored on GitHub, and payments will be calculated hourly. At the end of the month, reports will show uptime percentages and any deductions for downtime, along with detailed cost breakdowns per service.
+
+### Example Calculation:
+- **Moonbeam-P6 ($600/month):** 3 days offline → 648 hours online out of 720 = $540 payout (-$60).
+- **Polkadot-P3 ($700/month):** 3 hours offline per day → 630 hours online out of 720 = $612.50 payout (-$87.50).
+
+## Benefits
+- Incentivizes uptime and performance.
+- Transparent cost tracking via GitHub.
+- Fair compensation based on actual service delivery.
+
+## Implementation Plan
+The transition will coincide with decentralizing DNS servers across multiple members, ensuring distributed responsibility. I estimate the implementation will take a couple of weekends to develop the tracking into IBP-geodns, with additional testing and configuration adjustments. There are 25 hours remaining of the 200 originally requested for the ibp-geodns project. As part of this I would request an additional 40 hours applied to that pool (65 hours remaining). These engineering hours will cover development, testing, debugging and working with other members to decentralize and operate the distributed DNS authority. We should also probably rethink the geodns $600/month payment for operating a geodns in that instance. With multiple members operating the DNS nodes it makes sense to pay each member operating a node.