The Graph's REO shifts indexing requirements from counts to stake
The Graph's Rewards Eligibility Oracle (REO) is two months in, having run three eligibility steps in nine weeks. It directs indexing rewards toward Indexers that actually serve end consumers; the latest step removed under-performing Indexers, cutting the eligible set from 70 to 55. After the first two months, indexing rewards go only to Indexers that serve queries, and the daily bar rose from 1 to 5 to 10 Subgraphs.
- The next step, announced for November 17, shifts focus from Indexer counts to stake: Indexers must index the greater of 10 Subgraphs or 1 Subgraph per 4M GRT staked, a change affecting only Indexers above 40M GRT. The end goal is 1 qualifying Subgraph per 1M GRT.
- Context for the change: the 10 largest Indexers hold ~70% of total stake and received ~71% of indexing rewards from Aug 2 to Oct 29.
- REO publishes its rules and open-source logic, runs on a fixed daily schedule, and treats every Indexer as eligible if the oracle stops posting for seven days.
Sources
- Step 4 from November 17th: Indexers would be required to index either the greater of 10 Subgraphs or 1 Subgraph for every 4M GRT. Only Indexers above 40M GRT see a change in this next step. The end goal would be 1 qualifying Subgraph per 1M GRT. At 100M GRT, that is 100 Replying to their earlier post: Next: from the number of Indexers to the amount of stake. Indexing rewards depend on stake. The 10 largest Indexers hold ~70% of total stake and received ~71% of indexing rewards from Aug 2 to Oct 29…x.com ↗
- Last week, The Graph ecosystem learned more about the first two months of REO. Indexing rewards now go only to Indexers that serve queries, and the bar rose from 1 to 5 to 10 Subgraphs a day. That work set a baseline. The next step asks for something new: work that scales with https://t.co/H1GunojMmzx.com ↗
- The Graph protocol’s Rewards Eligibility Oracle is two months in. REO is designed to direct rewards towards the Indexers providing value to end consumers: 1. Moving fast: 3 steps in 9 weeks 2. Removing under-performing Indexers: Eligible Indexers dropped from 70 → 55 in Step https://t.co/H1GunojMmzx.com ↗
