Node Architecture & Participation Rules

To ensure high availability and security of the TrendX-native chain, Titanium Aether introduces a dual-track node structure composed of Validator Nodes and Privileged Nodes. Each plays distinct roles in upholding consensus, distributing incentives, and supporting ecosystem governance.

1. Validator Nodes

Validator Nodes are the core consensus operators responsible for transaction validation, block proposal, state synchronization, and data consistency. These nodes operate dedicated Owlbot computational units and stake TTA tokens to align resources with rights.

Eligibility Criteria & Resource Requirements

· Operate continuously with stable internet and high-performance Owlbot compute units.

· Dynamically stake TTA tokens as economic guarantees to secure validator responsibilities.

· Real-time on-chain monitoring evaluates compute performance, uptime, and task completion rates.

Scale Limits & Resource Allocation

· Hard cap of 100 Validator Nodes; overflow enters a candidate pool.

· Smart contracts autonomously manage node admission and retirement to preserve load balance and consensus integrity.

Reward Distribution Strategy

· Token incentives are calculated based on stake weight and verified workload.

· Reward pool sources include transaction fees and network gas revenue, all settled transparently via smart contracts.

Priority Sorting Algorithm

Candidate nodes that meet both Owlbot uptime and TTA stake thresholds are ranked by historical compute contribution. This rank impacts their priority for joining the active validator set.

Higher-performing, more stable candidates receive faster promotion into validator status, reinforcing network efficiency and fairness.

2. Privileged Nodes

Privileged Nodes focus on governance and ecosystem stabilization, without directly executing consensus tasks. By locking TTA tokens for extended durations, they earn enhanced voting rights and passive reward shares.

Qualification & Staking Thresholds

· Continuous TTA lockup above threshold and minimum duration auto-qualifies a node.

· Insufficient holdings trigger immediate and irreversible disqualification, maintaining a dynamic and lean node set.

Governance & Incentives

· Snapshot-based system continually updates eligibility status.

· Rewards are proportional to locked TTA and distributed periodically via smart contracts

3. Phased Node Incentive Mechanism

To support early-stage bootstrapping and scale with network adoption, Titanium Aether uses a dynamic, multi-phase incentive model:

Phase 1: Launch Phase

· Objective: Activate a minimum viable validator network.

· Incentives: Limited transaction fees + Bootstrap Fund smart contract to guarantee baseline rewards.

· Distribution: Both validator and privileged nodes share Bootstrap Pool subsidies; early fee income is distributed proportionally.

Phase 2: Transition Phase

· Objective: Increase on-chain activity and reduce dependency on external funds.

· Adjustment Logic: Gradual shift from Bootstrap Pool to transaction-based rewards, based on real-time indicators.

· Monitoring: Network metrics (volume, task fulfillment) drive algorithmic rebalancing.

Phase 3: Growth Phase

· Objective: Achieve self-sustained node economics.

· Incentives: Fully powered by transaction and gas fees.

· Governance: DAO-based parameter tuning for rewards and eligibility ensures ongoing decentralization and system health.

4. Node Eligibility & Rotation Mechanics

· Validator nodes are monitored on-chain. If stake drops or compute fails, they are auto-retired and replaced by ranked candidates.

· Privileged nodes lose eligibility upon violating stake/lock rules.

· All operations are immutably recorded and verifiable for audit and transparency.

5. Node Incentive Funding Sources

· TrendX Trading Fees:50% of TrendX's trading fee revenue is allocated to reward nodes, while the remaining 50% is used to buy back and burn TTA.

· Chain Gas Fees: On the Titanium Aether Chain, 80% of gas fee revenue is distributed to nodes as rewards, while the remaining 20% is directly burned.

· Bootstrap Incentive Fund: A temporary fund for early-phase stability during low activity periods.

This dual-node structure ensures Titanium Aether’s ability to scale securely while maintaining economic decentralization, technical resilience, and equitable reward distribution.