# Entropy Token Generation and Burn Through Block Rewards

When a block is created in the entropy, a block reward is given according to the verification. Block verification and block compensation are paid sequentially to the verifier in a Round Robin method rather than a competition method.

<figure><img src="/files/yHFhMnRkoIUoTQo4pqBM" alt=""><figcaption><p><strong>&#x3C;</strong>Round Robin Method Validator Verification<strong>></strong></p></figcaption></figure>

Block compensation is set to reward 0.2 ENTs per node. In addition to basic block compensation, an additional 10% of transaction fees incurred during transaction processing will be added up and rewarded. For the remaining 90% of the transaction fee, it will serve to maintain the value of the Entropy token through self-incineration. Block compensation based on verification is designed to stop when 262,800,000 compensation is executed. If a reward of 0.2 ENT is given, the total amount of ENT paid as a reward is 52,560,000 ENT.<br>

\<Block Reward Payment Formula>

{% hint style="info" %}
**Node Proof Reward =** **0.2ENT + (Block Transaction Fee x 10%)**
{% endhint %}

\
\<Equation for block compensation after all the deposited block rewards are exhausted>

{% hint style="info" %}
**Node Proof Reward = Block Transaction Fee\*100%**
{% endhint %}

About 10,512,000 blocks will be generated annually, and about 500,571 block validations will occur on 21 validators. Therefore, the compensation given per validator is as follows.

\<Actual annual amount of reward ENT per validator>

{% hint style="info" %}
**1 Validator Reward = 100,114ENT(500,571\*0.2) +** \
**Transaction Fee10% Sum(unpredictable)**
{% endhint %}

The above compensation payment ENT has been issued and deposited in the Validator Contract and is programmed to execute the compensation in the Contract each time a block verification occurs. Of course, all block compensation is executed on the premise that a contract is included in the block, and if an intra-block transaction is included, the function below is executed and compensation is automatically paid to the verifier.

{% code overflow="wrap" %}

```solidity
uint256 public constant MAX_REWARD = 262800000;

uint256 public rewardCount = 0;

function deposit(address valAddr) external payable onlyCoinbase onlyInit noEmptyDeposit{
     uint256 value = msg.value;

     if (value > 0) {
       if(rewardCount < MAX_REWARD) {
         rewardCount = rewardCount.add(1);
         
         uint256 reward = 0.2 ether;
         uint256 toBurn = value.mul(90).div(100); // 90% burn
         address(uint160(BURN_ADDRESS)).transfer(toBurn);
         emit feeBurned(toBurn);
         value = value.add(reward).sub(toBurn);
       }
       address(uint160(valAddr)).transfer(value);
       emit validatorDeposit(valAddr,value);
     }
   }
```

{% endcode %}


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