https://github.com/firoorg/firo/releases/tag/v0.14.10.0:
Masternode rewards are now every 7.5 days.
This release reduces block time to 2.5 minutes and changes the block reward division to the following:
50% Masternodes (previously 35%)
25% Miners (previously 50%)
15% Dev reward (no change)
10% Community Fund (previously 0%)
This is a hard fork. Please update before 16 June 2022 12:00:00 UTC.
Please backup your wallet prior to updating for safety.
It is a shame mining rewards % dropped so much, a balance between MN and mining would have encouraged the flow of “new to mining people” to the project and eventually to MN.
In many high electricity cost areas it may now not be viable to mine into the future.
So, there might be some misunderstandings.
While it is true that the reward percentage has dropped, and that results in fewer profits at this moment, this will also lead to a new balance. Miners will drop off, and difficulty will drop until profitability is attained again. Once this new equilibrium is achieved the mining profits should end up being about on par with what was available before the hard fork because it will be less difficulty as well as fewer miners to the rewards between.
This is also based only on the current value of Firo as well - if Firo goes up in value so will the profits for everyone, but it is also worth noting that with an increase in value there will likely be more miners and more masternode holders which will effectively bog the profits down again as difficulty increases and reward is spread across more miners. Thus, even with an increase in the value of the coin as a whole, a new equilibrium will be achieved. Does that make sense?
I recommend discussing this in the official thread for the change proposal. This was a community voted change.
Great explanation, I really hope it does follow the expectation. The small profit miners take typically are reinvested into hardware and running costs. So large swings in the balance will definitely push people away from the project and many will not return. Personally I believe a staggered approach to the change in rewards would also have found the balance with less shock to the loyal mining community.
Low numbers of votes probably didn’t reflect the community unfortunately.