Tips

Overview

Overview

Tip: The process of gathering declarations of amounts to tip and taking the median amount to be transferred from the treasury to a beneficiary account. Tips can be suggested by anyone and are supported by members of the Council. Tips do not have any definite value; the final value of the tip is decided based on the median of all tips issued by the tippers.

The tippersare the same as the members of the Council but a tipper is not the direct responsibility of the Council.

Two types of tips:

• Public tips: a small bond is required to place them. This bond depends on the tip message length, and a fixed bond constant defined on the chain. Public tips carry a finder's fee of 20% which is paid out from the total amount.

• Tipper-initiated tips: tips that a Council member published, do not have a finder's fee or a bond.

Definition

• Tip Reason: The reason for a tip; generally a URL that embodies or explains why a particular individual (identified by an account ID) is worthy of recognition by the treasury.

• Finder: The original public reporter of some reason for tipping.

• Finders Fee: Some proportion of the tip amount that is paid to the reporter of the tip, rather than the main beneficiary.

Diagram

Description

Raise tips

Anyone or member of the Council can propose a member in the network deserving a tip from the Treasury.

This proposer submits a tip reason and the address to tip to the tipping group. The proposer is able to claim the eventual finder's fee if the tip is approved by the tippers.

Issue tip valuation

The tipping group views the report and decides on the value of the tip. After more than (50% +1) of the tipping group has endorsed a tip, a tip will enter a closing phase. During that time frame, the other members of the tipping group can still issue their tips but do not have to.

Paying tip

tip_payout the amount is based on the order of tip amounts from small to large

For example:

VD: Total tipper=5. Tip amount is arranged based on amount of tip from small to large as follow: 1[0],2[1],3[2],4[3], 5[4]. The number in the bracket is the order of the tip amount.

Tip amount is selected with the order= [5/2]=[2,5]. We just take integral part=2.

→ Tip payout= 3.

The actual tip that will be paid out to proposed member is the median of the valuated tips. At the end of the closing period for the tip, some accounts must call the close_tip extrinsic and the tip will be paid out.

• Public tip: Beneficiary gets 80% of tip_payout, Finder gets 20% of tip_payout.

• Tipper-initiated tips: Beneficiary gets 100% of tip_payout.

Note that: If the amount of GLCH in treasury is smaller than the tip_payout, the treasury just pays an amount equal to the tip_payout and won’t payout the remainder the next time.