Remme Masternodes - Basics and Incentives to Hold One

Masternodes, also known as bonded validator systems, are series of servers that provide consistency and fault tolerance of the REMME blockchain network, which provides fast and low-cost transactions for managing PKId. The REMME core includes blockchain layer based on Hyperledger Sawtooth technology. The REMME core is a system based on a custom consensus algorithm (Proof-of-service) which is the synergy of two concepts I.e. first is the Ethereum Clique as simple PoA protocol which runs on top of the pre-defined list of nodes and second is the Dash masternodes network in which every user can enter the list of signing nodes by locking a certain amount of tokens.

Image Source: Remme Official Website

The main rule require masternodes to be online as long as possible and to not miss their turn to sign a new block. When a masternode goes offline, it is moved out of the global list of masternodes. Each node should periodically send heartbeat package to the network. If the node fails to send a package in time more than 3 times in a row of 6 checks, it is removed from the global list. The more time a masternode is online, the higher position it gets in masternodes ranking and the higher is its income.

REMME use a certain variation of proof-as-service as a consensus algorithm. The consensus is the process of building agreement among a group of mutually distrusting participants, which in this case are the other nodes of validator network. A validator is responsible for validating batches of transactions, combining them into blocks, maintaining consensus with the peer to peer network, and coordinating communication between clients, other validators working on the same blockchain, and transaction processors. Masternodes are responsible for enabling specific services such as registering certificates on the blockchain and managing the revocation process. A masternode is rewarded with fees from all transaction included in a block and thus it is incentivized to follow the consensus rules and to include as many transactions as possible.

Currently, there are planned two types of permissions on the blockchain:

• Public blockchain in which everyone is able to become a validator and push transaction onto the blockchain but only a predefined set of users can sign blocks due to the limitation of the default consensus implementation on Sawtooth.
• Private blockchain with a limited set of validators and transactors (those who can send transactions) intended for corporate use.

To become a masternode on the network, a node sends a special transaction. This transaction gives the possibility to the network to check if the candidate node holds a sufficient amount of tokens (250k REM) and is reachable on the provided IP address. If these conditions are satisfied, the masternode is added to the end of the global list and the amount of tokens is blocked. When the turn comes, a masternode should produce a new block and send it to the network within the specified amount of time. Missing a turn and pushing a new block too fast will make a node invalid. However, if the node owner wishes to stop it manually, the node owner sends a special transaction to the network. Once the transaction is processed the locked amount of tokens is released and the node is removed from the global list.

To communicate with other members of a masternodes network, REMME uses two ports - TCP and UDP. Some modification in firewall may be required to facilitate this traffic. Each validator will need a publicly routable IP address because the masternode software assumes complete connectivity to the other nodes in the network. Moreover, NAT is not currently supported. The technical requirements for holding this masternode have been kept very minimal so that even the basic users can participate. Current hardware requirement is CPU with 2 Virtual cores, 1 GB RAM, 1 GB Hard Drive. Remme also plans to maintain the server which will update the prices of REM tokens every 10 minutes and the masternodes can query with this server to get the token price.

With the first set of Masternodes from Remme expected to launch in Q3 of 2018, this seems to interesting project and the incentives to hold masternode can be really rewarding considering the fact that the required set of tokens for staking can be purchased today only for around USD 5k, as against the requirement of USD 10K at ICO price of USD 0.04/REM token. We all know that once the adoption increases, the masternodes can multiply in value tremendously over time and it will become more difficult to get one later.

Further details on this Project can be checked at the website link https://remme.io/

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** This should not be treated as explicit financial, trading or otherwise investment advice. This is not an advice to buy these cryptos, do you own detailed research before investing.**