Proposal for Enabling the Reward Full Priority Fee to Validator on Solana Mainnet-beta

Could you please say more about this? I feel like I’m missing this part in trying to understand how this proposal might mitigate these side deals.

It would seem to me that even if 100% of the priority fee is sent to a validator, that wouldn’t preclude the TXN sender from possibly sending even more of a payment to the validator, on top of 100% of the priority fee?

Appreciate all the thoughtful insights from everyone. I deliberately left side deal details out of proposal, preferring instead of focus on highlighting the misalignment of incentives.

This proposal is not aimed at eliminating all potential side deals, but to realign validator interests in a way that encourages more on-chain activities.

It’s assumed block producers always act in the best interests of themselves and their stakers, removing one obvious interests misalignment might help them to focus on building more valuable blocks.

yea, sender can always pay more to block producer for whatever reason, but just no longer the case that “I pay you 7, so you can put me ahead of other guys who paid 10 priority fee”. With this, sender needs to pay more to continue whatever was doing.

Epoch 616 has begun and this proposal is now in stake weight verification stage.

We are using a merkle distributor voting process, whereby a merkle tree is generated with all validators and their stake weights. The initial step is identical to the TVC vote with a CSV file which can be verified.

In epoch 617 validators will be able to begin claiming their voting tokens.

The CSV file with all stake weights can be found here

The repo with the distributor and details on how to claim tokens can be found here - alternatively Jito’s version of the CLI can also be used, though it will throw an error on claim (which can be ignored) and doesn’t support priority fees for a new claim.

The hashes for the CSV file, merkle tree and the voting token mint address are published here

In summary:

Verify the feature_proposal.csv file has a hash of 3972a374683e9fe9bf63ca179ae603ebf26e9cd5

cat feature-proposal.csv | sort | shasum

Verify the merkle tree has a hash of 3678a96f40de4b6eec8eedbc26c9b731f502362b

cat simd-0096-merkle-tree.json | shasum

The vote token mint address is simd96Cuw3M5TYAkZ1d71ug4bvVHiqHhhJzsFHHQxgq

The total supply will be 368296676892441006 with 1802 participating validators.

The voting destination addresses will be published here and on the repo when voting begins.

Shinobi Systems will be voting ‘no’ on this proposal.

I agree with the general premise of eliminating the 50% priority fee burn, as this burn doesn’t accomplish anything beyond adding some deflation to Solana economics.

However, I think that we need to hold changes to a higher standard. This proposal doesn’t attempt to be a net neutral change on Solana tokenomics; it alters burn rates and without any justification for doing so except as a side effect. It’s time to stop allowing changes with side effects that can be avoided.

If there is economic justification for eliminating this burn source, then let’s hear it. It should have been in the proposal to begin with.

If there is no economic justification for eliminating this burn source, then the proposal shouldn’t be voted for, as making arbitrary economic changes without justification should not be acceptable.

I will vote no on this proposal but hope that we can get another proposal in future that eliminates the priority fee burn while not making arbitrary changes to tokenomics.