# Farming Rewards

To reward community's participation, Phron AI incorporates the **Farming Rewards** program. We’ve allocated **5% of the total $PHRON supply** to reward both everyday token holders and dedicated node operators who stake their tokens to secure and grow our network. Here’s an example of how it will work:

| **Participation Type** | **Example APY** | **Bonus Factor** |
| ---------------------- | --------------- | ---------------- |
| Regular Staker         | \~100%          | —                |
| Node Operator          | \~200%          | 100% Bonus       |

#### Mechanics of the Program

1. **Designated Token Pool**
   * We allocate a fixed **5% of all $PHRON** to a dedicated rewards fund.
   * This pool is released gradually to ensure fair distribution over time.
2. **Staker vs. Validator**
   * **Regular Stakers** lock up tokens to earn an estimated **10% APY** (subject to governance and participation).
   * **Node Operators** receive a **100% bonus** on top of the APY rate, effectively **doubling** their rewards, providing an additional incentive on the Node Operator Role.
3. **Re-Staking for Growth**
   * Earned rewards can be **re-staked** for compounding benefits.
   * This cyclical process supports continuous growth and encourages participants to maintain their stake for the long haul.
