KEY TAKEAWAYS
- AZERO holders can now earn rewards by supporting privacy features through relayers, enhancing network participation.
- Relayers are crucial for Aleph Zero’s zkOS, ensuring private and secure on-chain transactions.
- The Aleph Zero network is transitioning towards greater decentralization by replacing foundation validators with community validators.
- Incentives for supporting privacy include fees and inflation rewards, benefiting both relayers and nominators.
AZERO holders will soon have the opportunity to earn rewards by supporting privacy features through relayers, in addition to existing validation options. This development is part of Aleph Zero’s ongoing efforts to enhance its network’s privacy and decentralization.
Run Relayers, Get Rewards
Relayers play a crucial role in Aleph Zero’s zkOS, enabling private on-chain transactions. The introduction of relayers allows users to earn rewards for hosting them, thus expanding the ways in which AZERO holders can participate in the network.
Relayers are essential for maintaining privacy within the Aleph Zero ecosystem. They ensure that transactions are disseminated over multiple relayers, preventing any single actor from becoming a bottleneck or a point of compromise. This setup enhances the privacy and security of transactions on the network.
Progress on Decentralization
The Aleph Zero network is making strides towards greater decentralization. Previously, block finalization was heavily reliant on the Aleph Zero Foundation, which controlled a supermajority of nodes. Now, the network is transitioning to a model where community validators play a more significant role.
Currently, 9 out of 10 Aleph Zero Foundation validators are being replaced by selected community validators based on their performance. This shift is part of a broader strategy to fully decentralize the block finalization process by randomly selecting community validators for the committee.
With nearly 190 active validator nodes, the reliance on Aleph Zero Foundation nodes is decreasing. This change encourages AZERO holders to switch their nominations to community validators, ensuring continued rewards and lower commission fees.
Incentives for Supporting Privacy
Supporting privacy on the Aleph Zero network is not only about contributing to the ecosystem but also about earning rewards. Relayers receive fees from users who deposit or withdraw funds from the shielded pool, along with a portion of the AZERO inflation rewards.
Nominators, who support trusted relayers by locking their tokens, share in these rewards. This creates a mutually beneficial relationship that strengthens the network’s privacy layer, zkOS.
The dual reward structure incentivizes both relayers and nominators to maintain and grow Aleph Zero’s privacy ecosystem. This system ensures that AZERO holders have a direct impact on the network’s efficiency and security.
For more details on this development, visit the official announcement here.
Disclaimer: The views expressed in this article are those of the authors and do not necessarily reflect the official policy of CoinsHolder. Content, including that generated with the help of AI, is for informational purposes only and is not intended as legal, financial, or professional advice. Readers should do their research before taking any actions related to the company and carry full responsibility for their decisions.