Role-based Incentives

$VELOCITY clearly separates responsibilities among participants. This separation reduces systemic risk and aligns incentives with contribution.

Issuers

Issuers are entities such as universities, employers, governments and platforms that issue digital credentials (such as ID, degree, skill, license, employment experience.) They:

• do not stake tokens

• do not operate nodes

• are rewarded only when their credentials are verified

Issuers monetize credential usefulness. They are compensated on a per-verification basis: credentials that are trusted and relied upon generate recurring revenue; unused credentials do not.

Oracle Node Operators

Node operators maintain the oracle infrastructure and form the verification layer of the network. They:

• stake $VELOCITY (self-stake + delegated stake)

• participate in verification pipelines

• process proof and response flows

• earn rewards from fees and emissions

• may be slashed for misbehavior

Node operators secure verification. They do not issue credentials.

Delegators / Stakers

Delegators secure the network economically by delegating $VELOCITY to node operators. They:

• back well-behaving nodes

• earn a yield on staked tokens

• are compensated from:

  • emissions (initial bootstrap phase)

  • verification fees (long-term steady state)

Delegators/Stakers do not need to operate infrastructure. They provide economic security.

Relying Parties

Relying parties are consumers of verifications:

• enterprises

• platforms

• financial institutions

• applications and protocols

They submit verification requests and pay fees in $VELOCITY. They are the primary demand engine of the token economy.