Rewards & Fees

Analog Watch will start as a centralized service but aims to decentralize Web3 data for universal, reliable access. However, the platform’s long-term vision is to use the Timechain to generate cryptographic Watch Proofs for independent data validation. (Refer to the Watch Tokenomics Paper for more details.) For now, Analog Watch uses the Timechain to secure and track user deposits by:

Reserving funds in user-specific Timechain accounts upon deposit.
Enabling secure, user-initiated withdrawals that release reserved funds on the Timechain.

Role of $ANLOG in the Analog Watch Ecosystem

$ANLOG is the native cryptocurrency of the Analog Network (see Tokenomics for more details). It's also a utility token within the Analog Watch ecosystem, used to coordinate and reward interactions between users and power transactions.

Key Functions for Data Consumers

Query Payments: Data Consumers deposit $ANLOG to fulfill data queries. These tokens are distributed to Data Collectors and Designers as compensation.
Account Management via Timechain:
- Deposit/withdraw $ANLOG to manage balances.
- Track real-time balances (deposits vs. withdrawals).
- Enable automatic query payments when sufficient funds are available.

Query fees are tied to API key usage. For full details on tokenomics, refer to the Watch Tokenomics Paper.

Ecosystem Stakeholders

Analog Watch consists of five primary stakeholders:

Data Designers

Data Designers are entities that publish smart contracts and Views on the Analog Watch. Anyone with sufficient knowledge about smart contracts can undertake this role on Analog Watch. Data designers earn a portion of query fees for their services. Check out Watch Tokenomics Paper to learn more.

Revenue Streams

Data Designers and Data Collectors are compensated for View data through Fees paid by Data Consumers, calculated using the following formula:

$Fee=Base\_Query\_Fee+View\_Weight*Cadence*Rate$

Where:

$Fee$ is a fixed fee that Data Collectors/Data Designers earn from their work.
$Base\_Query\_Fee$ is the base fee denoting a fixed cost for the query service. It covers the basic operational expenses.
$View\_Weight$ is the volume of data queried.
$Cadence$ is the cadence of indexing. For example, the cadence could be every 10 blocks for an epoch or 24 hours.
$Rate$ is a configurable factor that allows the recovery of the total cost based on the total volume of data queried so far.

The generated $Fee$ is distributed to Data Collectors/Data Designers on an epoch (i.e., 12-hour period) basis. Initially, all query fees go to the Data Collector. Once profitable, fees are shared between the Data Collector and Data Designer in a 9:1 ratio, respectively. Check out Watch Tokenomics Paper for more details.

Querying Plans

Two query plans are available for Views on the Analog Watch:

Free Plan: This is the initial plan for any Data Consumer and includes 100 free queries with full access to the Watch Portal and Watch SDK features. This plan is designed for projects that want to test out Analog Watch before scaling their operations.
Premium Plan: This plan includes all features of the Free Plan, but requires payment for queries exceeding 100, as detailed in Revenue Streams.

Key Parameters & Defaults

Parameter	Default Value	Description
`EXISTENTIAL_BALANCE`	1,000,000,000	Minimum balance required for users to submit queries.
`QUERY_BASE_FEE`	20	Base fee per query (adjusted dynamically).
`VIEW_CREATION_FEE`	100,000,000	Cost to create a new View
`CONTRACT_CREATION_FEE`	10,000,000	Cost to create a new contract.
`ETHEREUM_WEIGHT`	3	Weight for Ethereum network fee calculations (higher = more expensive).
`UNSYNCED_BALANCE_THRESHOL`	-100,000,000	Threshold to flag accounts with unsynced balances (negative value in code).
`FREE_TRIAL_TIMES`	100	Number of free queries allowed per user before fees apply.
`UPDATE_INTERVAL`	60 seconds	Parameter refresh rate.
`SETTLEMENT_INTERVAL`	2 hours	Settlement window for balances.