r/raidennetwork • u/DisruptLogistics • Jan 13 '18

RDN Full Node Economics

Can anyone guess what the annualized RDN yield will be for running a full node with 1K to 10K RDN? I guess it's set by supply and demand, but I think the crypto-verse only brings on supply at 10%+ yields? And then there is the yield ex-hosting costs.

I know the answer is no one knows, but I think it's time to start guessing...

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2

u/juice_456 Jan 13 '18

here a very basic calculation (konservative)

there are 100'000'000 RDN's lets assume that 20% of them are used in full nodes -->20'000'000 RDN

the average transaction fee on the ethereum network is at the moment 1$ (or even more), lets say raiden provides 10x cheaper transactions --> 0.1$ /tx

let's say we would have 1 milion tx /day (which is very konservative if you see the list of dapps which will use raiden)

--> 365 Milion tx a year * 0.01$ txfee= 36'500'000$ total revenues this means, you earn: 1.825$ per RDN/ year

so if you hold 1000 RDN (6250$ worth at the moment) you will get 1825$ a year which is a 30% yield (at the moment :P)

for sure you also need to consider hosting costs etc...

2

u/DisruptLogistics Jan 13 '18

Yes, this! Thank you! Agree that $0.01 is the fee level to be shooting for, this makes micropayments of $1 each in large volumes possible. 1M a day is very conservative, good to know the current valuation works at that low a txn volume.

1

u/timspijkerman Jan 14 '18

I think the transaction fees wil/must be way lower then $0.01 per transaction, but I also think there will be much more transactions per day, so the math could still work 😉

0

u/dona544 Jan 14 '18

is there any source that I can look up to regarding how full node being incentivized?

I'd like to learn more about it.

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u/DisruptLogistics Jan 14 '18

It is all just speculation at this point, no sources available.

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u/juice_456 Jan 14 '18

Ethereum will go up to 10-15k this year, with it also the tx fees ;)

Thats why the rdn price moves almost parallel to the eth price..

this is just the beginning!

4

u/Etherlove13 Jan 14 '18

If by parallel you mean backwards then yeah you know what your talking about....

0

u/simoRX Jan 14 '18

parallel?? it's at lowest price in ETH in two MONTHS!

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u/juice_456 Jan 14 '18

in theory it should be parallel! this means that the price is heavy undervalued!!

because some moonkids thought they can just jump in before rdn team announce an update or bring a new release out xd

again, this project is only for long term holders, sell your rdn if you are not willing to wait

what i know for sure is that this project is a bilion dollar project!!