Accompanying the development and rollout of AMB-NET, there will also be other developments in the Ambrosus Eco-system to look forward to in the next few weeks:

The release of our first complete “Toolkit for Sensors and IoT Devices” Report by the end of Q3.

The publication of our mini-documentary concerning one of the most precious commodities in the world.

The unveiling of a number of Proof of Concepts in the form of in-depth blog posts.

The launching of a number of dApps and Applications on AMB-NET 1.1.

In-depth interviews and access to the Ambrosus Team.

Section 2.0 Masternode Functionality

The Ambrosus Network is made up of three different types of masternodes, each possessing a very specific function in the Ambrosus eco-system:

Apollo = 250,000 AMB Stake.

Hermes = 150,000 AMB Stake.

Atlas Omega = 75,000 AMB Stake.

Atlas Sigma = 30,000 AMB Stake.

Atlas Zeta = 10,000 AMB Stake.

Below, a concise explanation of the role that each masternode plays is given, alongside a number of updates concerning how rewards are distributed among the various nodes.

2.1 Apollo Masternodes — 250,000 Stake

First, the Ambrosus Network is made up of Apollo Masternodes: Apollo Masternodes function as the validators of the network. More specifically, Apollo Masternodes serve the purpose of:

Verifying transactions of data uploaded to the Ambrosus blockchain.

Executing smart contract code as programmed into the network.

These nodes comprise the Proof of Authority protocol that ensures network integrity by verifying all bundles of meta-data incorporated into the Ambrosus blockchain.

More specifically, every time a transaction is validated on the Ambrosus blockchain, the various Apollo nodes on the network will come to an agreement concerning whether the data uploaded to the network is valid. At a certain mathematical level of convergence, the Apollo Masternodes reach a consensus about their broadcasts, and then all of them together update their ledger record.

In terms of the function of the Apollo Masternodes in the Ambrosus cryptoeconomic system, the following can be said:

First, as validators of the network, Apollo Masternodes can be operated with a minimum stake of 250,000 AMB, by a) regulators, b) governments, c) companies, and d) individuals.

Second, Apollo Masternode operators will undergo rigorous KYC screening. They will be officially contracted into the Ambrosus Network (via smart contract), and will also be required to uphold a certain Service Level Agreement (SLA). This is absolutely essential in light of the function of Apollo Masternodes as validators of the network.

Third, Apollo Masternodes are rewarded for processing transactions on the network, in the form of a transaction fee. More precisely, from every payment to store 1 bundle of data on the network, part of all bundle upload fees will be shared between the various Apollo Masternodes. Meanwhile, additional compensation for Apollo nodes can stem from any other transaction on the network (i.e. by a dApp), unrelated to the validation of bundles. As validators of the Ambrosus blockchain, any interaction with the blockchain will require the approval from Apollo nodes and cost a small fee.

2.2 Hermes Masternodes — 150,000 AMB Stake

Second, there are Hermes Nodes: Hermes Nodes are an integral part of AMB-NET, responsible for producing and uploading the data on the network. More specifically, these nodes are responsible for:

The collection of data transmitted by sensors or other hardware devices,

The documentation of private data in the form of a hash of the ‘Asset’ or ‘Event’ recorded. This hash contains within it all relevant meta-data (i.e. author, timestamp, Amber ID, etc.).

The compacting of the hash and meta-data up into a ‘Bundle’ that is then incorporated into a block on the Ambrosus blockchain.

As such, Hermes Masternodes are the connectors of the network: they provide a uniform REST API that allows mobile devices, sensors, and desktop applications (including those of clients using the network) to easily connect to the Ambrosus blockchain and the meta-data stored within. The data model has been refined by over a decade of pioneering R&D in the IoT space carried out by Dr. Vlad Trifa.

In terms of the function of Hermes Masternodes in the Ambrosus cryptoeconomic system, the following can be said:

First, Hermes Masternodes, are the primary data producers of the network. As such, most Hermes Nodes will be operated by companies wishing to upload their supply chain data to AMB-NET and more generally by any developer interested in building any custom Blockchain powered application (this is particularly relevant for our partners that provide custom solutions).

Second, as producers of data on the network, all Hermes Masternode operators have to pay an amount of AMB that is proportional to the amount of data they wish to upload to the network. Based on numerous simulations and conversations with customers, increasing the bundle size and therefore adapting the price provided a better tradeoff for our model. As such, payment by Hermes node operators is in the form of the set price of $12 USD per bundle.

Third, all enterprise Hermes operators must stake a minimum amount of 150,000 Amber, as well as undergo rigorous KYC screening. Additionally, every Hermes node operating on AMB-NET will be required to sign a contract with the network, as a means of ensuring proper compliance. This will be done via smart contract. Finally, such nodes will also be subjected to Service Level Agreements (SLA’s) to guarantee a certain level of uptime as data producers on the network as well as to protect from spamming or any other kind of abusive behaviour on the network.

Fourth, to ensure the broadest adoption for AMB-NET, we plan to rapidly introduce a simpler Hermes node (community edition), which will require a much smaller stake and will be a lot simpler to setup and use. This node will of course have less advanced features than the enterprise version but will enable any developer to more easily build AMB-NET powered applications and services for their own projects. This is a vital aspect we wanted to introduce to guarantee the lowest barrier for developers wanting to leverage AMB-NET.

Because Hermes Masternodes merely produce data for the network, they do not receive any form of reward. Rather, Hermes Masternodes themselves must pay the Network (and the other masternodes) to verify and shelter the data they upload.

2.3 Atlas Masternodes — 75,000/ 30,000/ 10,000 Stake

Third, the Ambrosus Network requires Atlas Masternodes to store and secure all data uploaded to the network. More specifically, all Atlas Masternodes serve the purpose of:

Sheltering public data and meta-data uploaded to the Network.

Challenging other Atlas Masternodes to prove they are performing their sheltering duty.

Copying data of other Atlas Masternodes to increase data resilience and mitigate the loss of information.

As discussed in the original AMBERnomics announcement, all Atlas Masternodes shelter public data or meta-data uploaded to the Ambrosus blockchain. Additionally, beyond sheltering data, Atlas Masternodes must also be able to respond to challenges for their data from other Atlas Masternodes. This means that when Atlas Masternode X challenges Atlas Masternode Y, Atlas Masternode Y must respond with the data being asked for. If this is done successfully, Atlas Masternode X makes a copy of the challenged data as a matter of increasing data resilience.

In terms of the function of Atlas Masternodes in the Ambrosus cryptoeconomic system, the following can be said:

First, in return for their guarantee of the storage and integrity of all data uploaded onto the network, Atlas Masternodes are entitled to a reward from the original payment per bundle. Specifically, Atlas Masternodes will receive a percentage of the original payment that is broken down into various storage challenges. These storage challenges are thereby the means of compensation that Atlas nodes depend upon.

Second, because Atlas Masternodes function to shelter public data and only the hash and meta-data of private data, Atlas Masternodes will not require a KYC screening to operate.

Third, the stake for the various types of Atlas Masternodes is in proportion to their data sheltering capabilities. Based on current modelling:

Atlas Omega Masternodes, requiring a stake of 75,000 AMB, will have larger data storage capacities than more than three Sigma Masternodes.

Atlas Sigma Masternodes, requiring a stake of 30,000 AMB, will have larger data storage capacities than more than four Zeta Masternodes.

Atlas Zeta Masternodes, requiring a stake of 10,000 AMB, will have the minimum data storage capacity.

As a result, because the various Atlas Masternodes can each store different quantities of data (Omega can store the most, followed by Sigma, followed by Zeta), more data storage will naturally result in a larger amount of total rewards possible. This means that the amount of bundles that each Atlas Masternode can shelter increases according to its stake (with the maximum number of bundles sheltered increasing with each senior level disproportionately higher than the increase in Stake), and will correspond proportionality to the magnitude of rewards that can be received.

2.4 Breakdown of Rewards System:

With this intricate explanation of the various masternodes operating on the Ambrosus Network, a more detailed breakdown can also be given concerning how a bundle of data is incorporated into the Ambrosus cryptoeconomic model: First, a ‘Bundle’ is made up of up to 16,384 Assets or Events, while the payment per bundle, has been set at 12 USD payable in AMB. Second, for every 12 USD paid in Amber (AMB) to verify and secure 1 bundle of data, the value is distributed accordingly between the Apollo and Atlas nodes responsible for the validation and storage of the data.

For the various Atlas nodes allowed onto the network, a proportionate amount of rewards will be equally distributed according to each node’s respective storage capacity. Logically, this onboarding process must be done incrementally, so as to reinforce the reliability of rewards for those who have already gained access to the network. In this sense, the immediate priority for Ambrosus is to positively build sustainable and long term network growth, whereby the various Atlas nodes are rewarded, in relation to the overall traction that the network has received.

Finally, as the usage and adoption of the Ambrosus Network is very much dependent on our customers’ preference and pace, we must carefully ensure that as more customers join the network, a proportionate amount of nodes will accompany them. Initially, however, it should be emphasized that until there is sufficient traction on the network, the number of nodes and number of rewards transfered to those nodes, will be especially monitored so as to guarantee a reliable and fair rewards rate.

Conclusion:

Here at Ambrosus, we aspire to create the next generation of value grounded in certain core principles like transparency, decentralization, and long-term sustainability. The rollout of AMB-NET, and the onboarding of masternodes to the network is a major step in that direction. As the pinnacle of decentralization, these operators signify the transformative nature of the Ambrosus cryptoeconomic model, and the new possibility of distributing value in a fair and inclusive manner.

Architecturally, our eco-system will allow businesses to seamlessly connect with one another, in order to improve supply chain efficiency, transparency, and security. Unlike any other technology, Ambrosus is well on its way to sustainably managing industrial grade supply chains from all over the world. For the first time, life-essential food products, commodities, and medicines can be monitored, managed, and secured as they enter new markets and reach the hands of millions of consumers.

In the coming months of excitement, we encourage our community to actively follow us as we transform the value of data and realise the full potential of blockchain technology. We welcome all forms of community participation, whether that be through the designing of Ambrosus graphics, dApp and app creation, or any other project related proposals! Feel free to contact us on our website or via one of our many online communities!