Summary
This proposal requests that the NULS network resume automatic block reward generation beginning at block height 19,500,000.
The change restores validator and staker rewards that were previously paused, ensuring continued incentives for network security and decentralization.
Motivation
The block reward system is a core component of NULS’ consensus and economic model. Its suspension reduced ongoing incentives for node operators, weakening participation and potential chain security.
By reinstating block rewards, the network realigns validator and staker incentives with long-term sustainability goals. This also provides predictable yield and encourages more staking and participation in consensus.
Technical Specification
Activation height: 19,500,000
Action:** Resume the automatic block reward creation mechanism that was active prior to the pause.
Reward parameters: Remain unchanged from the configuration active before reward suspension (block reward amount, distribution ratio, and related parameters).
Consensus rule:
- Blocks with height
< 19,500,000→ no reward created. - Blocks with height
≥ 19,500,000→ reward creation resumes.
Implementation:
- Consensus module code update to enable reward issuance once
height >= 19,500,000. - Backward compatibility guaranteed for all prior blocks.
Impact Analysis
Positive:
- Restores validator/staker incentives, improving security and decentralization.
- Reinstates predictable on-chain yield and encourages staking participation.
- Minimal protocol disruption — only one conditional check change required.
Risks / Considerations:
- Nodes that fail to upgrade before the activation height will reject valid blocks, causing temporary divergence.
- Proper coordination and communication are essential to ensure seamless upgrade.
Upgrade & Coordination Plan
- Announcement:Publish official upgrade notice immediately after this proposal passes.
- Upgrade Window: Allow at least 2 weeks for node operators to update their clients before block 19,500,000.
- Activation: Automatic upon reaching block 19,500,000 on mainnet.
- Post-activation: Monitor block production, staking participation, and chain stability.
Alternatives Considered
- Delay the restart to a later block height (e.g., 19,600,000) to extend upgrade window.
- Resume rewards but adjust reward rate or emission schedule (to be covered by separate NIP if needed).
- Continue suspension indefinitely (not recommended as it disincentivizes network security).
Community members, node operators, and validators are requested to vote in favor of this proposal to re-enable the core incentive structure of NULS.
Passing this proposal ensures that the network remains healthy, secure, and economically sustainable.