MAY 11, 2021: Payouts for month of April 2021 complete

Hey friends, payouts for the month of April 2021 are now complete.

We had an unusual situation this month. We did our minimum payout calculation for layer 1 transactions last week on Thursday, when gas prices were unusually low, in the range of 50 GWei, and ETH was in the mid $3ks. During the payout process, gas and Eth started to climb much more than other months and got to where it is now, in the 250-300 GWei range and $4.1k. Naturally for most of the weekend we hoped gas would go down and so a couple payments here and there went out, but overall, our max gas setting prevented payouts from sending.

Ultimately we recalculated the minimum payout threshold (on the generous side of our typical calculation, given the ridiculously high price of transactions), and reran the remainder of our queue, so some people got paid with a much lower minimum payout threshold than others. We issued a few more transactions with a low max gas that are still pending, so there still are a handful of transactions that may yet go through if gas prices drop to the 70s range in the next day or two. In the future, we will probably make the minimum payment threshold be a per-payment calculation, instead of a per-payment-batch calculation.

As usual, if you are still using layer 1 and didn’t get a payout this month, don’t fret - we’ll keep track and get you your payout in a subsequent month. You can always choose zkSync if you want a payment sooner! You can check out our excellent documentation on how to switch here.

Another detail - A couple of nodes that exited gracefully but hadn’t earned more than the minimum payout threshold didn’t make it into this month’s batch. This became complicated because we enabled some new code this month that disqualified and otherwise marked a bunch of old nodes terminal in our system, mostly nodes we haven’t seen in months that had slipped through the cracks. This procedure triggered a bunch of very small exit payments. Some of these payments went out and some didn’t. We’ll catch folks we missed up in a subsequent month as well.

Lastly - a small handful of lucky zkSync operators got paid more than once! We’re still ironing out kinks in our zkSync integration and we double paid a few folks. Congrats if that was you!

Some stats:

  • All zkSync operators got paid. Just so you know, if you do nothing, zkSync is likely to become your default soon EDIT: this is now unlikely. So far we haven’t been applying minimum payment thresholds to zkSync payments as an incentive, but we are likely to apply them to zkSync eventually too (even if they are much, much lower).
  • For the first batch of layer 1 transactions, folks who earned $24.69 or more got paid. However, many of these payments never made it out of our queue, so…
  • For the second batch of layer 1 transactions, folks who earned $91.94 or more got paid.

We’re still tinkering with new ways to improve our payment process and add better options for storage node operators. Make sure to read our latest blog post with lots of great details about how our platform is evolving.

Thanks again for being such a great community!

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thank you @jtolio for the post and the explanation. Its super appreciated.

I know the commuity will read all of this and have comments. I’ll also go in and update the topic title with the date and pin it to the Node category for visibility.

Separately, I wanted to say that for folks who are new to the community, you may or may to be aware that JT is our CTO. We are uniquely fortunate in the Storj community to have such a strong relationship and positive support from mutliple levels of Engineering. I know that you arent a person who seeks attention JT, but I just wanted to convey my own appreciation. Your willingness to “chop wood and carry water” is unlike that of any other CTO I have worked with.

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Aw shucks, thanks @jocelyn! You and the community make it a joy!

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How can it become the default for wallets that don’t support it natively and do not configure Metamask?

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I have another question. If new SNO’s follow your advice and provide a repurposed 1TB of space AND they follow your advice and sign up for zksync, realistically what can they do with those tokens?
It seems with the fees involved converting to fiat make it not really an option for amounts that low so the only other two options I see are token speculation and buying storj services. if that is not the case what other options are there?

and another “Today we pay a premium for bandwidth to incentivize Storage Node participation in the network, but as we see use cases with higher bandwidth utilization, we may reduce the premium with the expectation that Storage Nodes will earn more based on volume”
Doesn’t this mean in the longer term smaller SNO’s will be penalised in terms of net earnings?

@penfold please edit posts to add more questions. This keeps the forum thread shorter and replies relevant for the previous post.

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If I edit the post will people who have already seen the unedited post be notified of the updates?

They wouldn’t be notified of the post being edited but when they come to the thread to reply they will see the extra questions.

Then I don’t see the point in following your suggestion. I know that I actively use the notifications of thread updates.

How do I preemptively opt out of zksync then?

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Please don’t force us to use zkSync :frowning: There are no exchanges to swap out to other tokens as far as I’m aware, without incurring the L1 opt in fees. I can see there are plans to make this happen, but it’s not there yet - it would be useful to wait for this to be available in my view.

On the L1, I actually though I might get paid after 7 months being an SNO in May 2021, as at end of April 2021 the gas fees were low $3-6… but then May hits, and they are far to much, broken…

How long is this going to go on for :slight_smile: forcing us all to go L2 will make bad feelings, I know this is an unconfutable discussion, but it’s been kicked along the side walk for months.

You are being very honourable, paying nodes that made $0.01 with a gas fee of >$5 who were DQ, but that model isn’t sustainable, and is in my view promoting bad behaviour.

Again, I not mad, I never expected to be paid from this project it is more interest to see how it develops :slight_smile:

P.P.S - rebranding to aim at just developers if “huge” marketing error - you have just excluded a huge part of your customer base… Also, maybe in your country developers hold the $$ where I work, developers have no $$ it’s all worked out by Devops, and architects so again trying to engage just developers, who don’t have the $$ makes me sad :frowning: please reconsider the branding and make Storj all inclusive - decentralised storage should be for everyone.

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I would not like for my payment method change to zkSync automatically. I’d rather wait until I get enough L1 STORJ.

If you do change this be sure to send an email to every SNO well beforehand!

Hoping for an UI setting where I can select L1 / zkSync :slight_smile:

Otherwise, great post and thanks for letting us know what’s going on with the payments!

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I keep more than 100 locations, the stored volume is more than 200TB.
If my payments are transferred by zkSync - I will shutdown all nodes.
This has now become completely unprofitable.

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if what you say is true, how can it not be profitable?

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You don’t know the ongoing cost of running nodes in 100 locations.

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I opted-in for the zkSync 2-3 days ago. But I did not get any payment.
Was it probably too late for this months payment?

but in fact STORj does not ask for dedicated hardware with dedicated connections.

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That was was too late for this recent pay cycle. The cut off seems to be the end of the month, or very close after.