Where does the % fee taken from the task payout go?

colonynetwork

#1

Question from Slack channel:

Where does the % fee taken from the task payout go? Does the fee go to my Colony’s rewards pot?


#2

Ah, this is a bit confusing because there are 2 different types of ‘siphoning’ mechanics for either the Meta Colony fee, or the Rewards cycle, and they’re different:

Fee

The % fee from a task payout goes to the Meta Colony, as a fee for the common upkeep of the colonyNetwork as a whole. This fee is taken when a user calls the claimPayout() function to get the payout from a completed task. 1% of whatever their payout was set as gets siphoned and sent to the the Meta Colony address.

Rewards

Every colony has a rewards pot, which pays out according to reputation and token holdings. The rewards pot is a percentage of that colony’s revenue.

Periodically, a Colony may run a rewards cycle, in which all members of the Colony that have tokens and reputation are able to claim a portion of the rewards pot according to their reputation and token holdings (specifically, it is a geometric average of the two; see the whitepaper for more info about that).

How much is allocated for the rewards pot, as well as when the rewards cycle happens, should be chosen by the Colony. Currently the global setting is 1% (of total colony revenue) set aside for rewards, but allowing this variable to be set by the Colony is an outstanding to-do.


Hope this helps!