Operation

The operation of Validators DAO is composed of three core systems: the SWQoS Market Software, the elSOL Pool, and the Monitoring and Streaming System. These systems work together to efficiently and securely manage Solana’s network bandwidth, ensuring that both bandwidth providers and users receive rewards reliably.

Within the SWQoS Market, validators and stakers sell SSP (SOL Staking Power), which users purchase using VLD. When a sale is completed, the VLD paid by the buyer is automatically transferred to the seller.

For unsold SSP, a portion of the VLD used within shared SWQoS endpoints is distributed based on the holder’s proportion of unutilized SSP. This structure ensures that providers earn rewards even when their listings are not directly sold.

All reward data is recorded on-chain, and distribution is fully automated. Reward calculations occur on an epoch basis, accurately aggregating both sold and unsold portions for each provider.

Once SSP is purchased, VLD transfers occur in real time. During the service period, payments are automatically streamed at regular intervals.

Traditional one-time payments carried risks such as non-payment by the buyer or non-delivery by the provider. By using real-time streaming payments, rewards are distributed proportionally to actual usage, enabling fair and secure transactions for both parties.

Payment flows are managed per transaction. Transfers continue only while the buyer actively uses the allocated bandwidth, and automatically stop when the usage period ends or when an abnormal condition occurs in the contract or system.

To ensure operational reliability, Validators DAO operates a dedicated monitoring system. This software continuously monitors bandwidth application, payment status, and staking balances. If an anomaly is detected, payments are automatically suspended and notifications are sent to the relevant parties.

When configuration inconsistencies or unstable connections are detected, the system prompts for reconfiguration or confirmation to prevent extended downtime. The monitoring software integrates payment control, reward distribution, and staking application management, ensuring that all SWQoS transactions on the Solana network are executed accurately and stably.

All operational workflows within the DAO are automated through software. Reward calculations, payment processing, and configuration updates are performed automatically each epoch, eliminating the need for manual intervention and reducing the risk of human error.

The entire process is planned for third-party auditing, including verification of reward calculation logic and payment control mechanisms. This external audit ensures both security and transparency across the DAO’s operational systems, strengthening trust among all participants.