> For the complete documentation index, see [llms.txt](https://docs.swanchain.io/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.swanchain.io/swan-inference/inference-marketplace/swan-provider-income.md). # Computing Provider Income ## Income under Swan 2.0 Under the [Inference Cloud](/swan-inference/swan-2.0-inference-cloud.md) a provider's income is the sum of what it is paid for the requests it actually serves. There is no allocation for registered-but-idle hardware. ### Per-token payout Every catalog model publishes a **payout price** per 1M input and output tokens (per image for image models, per minute for audio), set by the platform alongside the consumer price. For each request: $$ \text{earning} = \frac{\text{input\_tokens} \times \text{payout\_input\_price} + \text{output\_tokens} \times \text{payout\_output\_price}}{10^6} $$ The platform margin is the spread between the consumer price and the payout price; there is no percentage commission. Payout prices are visible in the provider dashboard and in the public catalog (`payout_input_price`, `payout_output_price` in `GET /api/v1/models`). At the time of writing the payout is 90% of the consumer price for almost every model. Providers do not set prices; they choose which models to serve. `computing-provider inference recommend-models` ranks models by current demand against your hardware. ### Retired Token Plan traffic The monthly Token Plan is no longer sold. Until the last subscription expires, requests still covered by one credit the provider at the same payout price but are capped at that month's plan revenue pool and pro-rated by share of plan tokens served if usage exceeds it; those earnings are held as *settlement pending* until month end. Every other request pays the full payout price and settles in the daily batches. ### What moves your income | Factor | Effect | | -------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------------- | | **Being online for models people use** | Traffic is only routed to online providers; demand is visible per model on the [network page](https://inference.swanchain.io/network) | | **Health** | Success rate, uptime and latency weight how much of a model's traffic you receive; degraded providers get only probe traffic | | **Verification trust** | Passing fingerprint/logprob/context checks raises routing weight; failures lower it and can trip a circuit breaker | | **Honest context window** | Declaring the window you really serve makes you eligible for the long-context requests you can handle and avoids caps | | **Reference-node status** | A node the platform designates as a model's reference baseline earns nothing for that model | ### Settlement and payouts * Earnings accrue per request and appear in the dashboard (daily/weekly/monthly, per model, CSV export). * Settlement aggregates usage into daily batches per provider and collateral chain. * Payout requests go to the beneficiary wallet: **minimum $10**, **flat $1 fee**, one request per chain per hour, one pending payout at a time. Earnings can also be converted into inference credit on the same account. ### UBI has ended The Swan 1.0 UBI allocation was tapered to zero under [SIP-003](https://github.com/swanchain/governance/discussions/21) and is off. There is no daily SWAN allocation for registered hardware; the per-token payout above is a provider's income. ### Unified Computing Provider role The legacy ECP and FCP roles are merged into a single Computing Provider. Operators of legacy providers can install the current [`computing-provider`](https://github.com/swanchain/computing-provider) and follow [Become a Provider](/swan-inference/become-a-provider.md); the legacy pages under [Legacy: Swan 1.0](/legacy-swan-1.0-archived/swan-chain-campaign.md) remain for withdrawing Swan 1.0 collateral. ## Swan 1.0: UBI income (archived) {% hint style="warning" %} **Archived.** The UBI formulas below describe Swan 1.0. UBI has **ended** under [SIP-003](https://github.com/swanchain/governance/discussions/21); today's income is the per-token payout described above. {% endhint %} Swan Chain is a decentralized network that connects computing providers with users requiring computational resources. To foster early network growth and incentivize CPs to join and contribute resources, a dual compensation mechanism has been designed: 1. **Universal Basic Income (UBI)**: Provides CPs with a predictable token income when their resources are underutilized. 2. **Paid Jobs**: Offers market-priced compensation for computational tasks requested by users. This mechanism ensures a fair and gradual distribution of tokens to providers, supporting the network's expansion until it reaches a critical mass of user-paid tasks. Importantly, the UBI distribution rate is influenced by the resource usage rate, and CPs earn market-based compensation when engaged in paid jobs. ### **Total Income** The total daily income $$I(x)$$for a computing provider on day $$( x )$$ comprises two components: * **UBI Income** $$y\_{\text{UBI}}(x)$$ * **Paid Job Income** $$y\_{\text{Paid}}(x)$$ $$ I(x) = y\_{\text{UBI}}(x) + y\_{\text{Paid}}(x) $$ Substituting the expressions for $$y\_{\text{UBI}}(x)$$ and $$y\_{\text{Paid}}(x)$$ $$ I(x) = A \cdot x^{B} \cdot e^{-C x} \cdot (1 - u(x)) + P\_{\text{market}}(x) \cdot u(x) $$ #### **Resource Usage Rate Impact** * **When** $$u(x) = 0$$: * CP receives full UBI allocation. * No income from paid jobs. * **When** $$u(x) = 1$$: * All resources are utilized by paid jobs. * CP receives full income from paid jobs. * No UBI allocation. * **Intermediate Values**: * CP's income is a combination of UBI and paid job compensation, proportional to resource utilization. ### Individual CP's UBI To calculate the UBI for a single CP, we consider both the resource usage and completion rates of tasks. UBI allocation is conditional on sufficient resource contribution and performance metrics: **(1) UBI Workload Calculation** * Calculate the daily completion rate of a single ECP zk-task: $$P\_{\text{ECP}}$$ * Calculate the completion rate of a single FCP sampling task: $$P\_{\text{FCP}}$$ * Number of GPUs: $$N\_{\text{ECP}}(GPU\_k)$$ and GPU types. * Calculate the total UBI workload: $$ UBI\_{\text{total}} = UBI\_{\text{ECP}} + UBI\_{\text{FCP}} $$ $$ UBI\_{ECP}=\sum\limits\_i (\sum\limits\_k N\_{ECP,i}(GPU\_k) \times f\_k) $$ $$ UBI\_{FCP}=\sum\limits\_j (\sum\limits\_k N\_{FCP,j}(GPU\_k) \times f\_k) \*W\_{FCP} $$ **(2) Calculating the UBI for a single CP**: As an ECP: $$ UBI\_{\text{ECP},i}(x) = \frac{\sum\limits\_k N\_{\text{ECP},i}(GPU\_k) \times f\_k \times P\_{\text{ECP},i}}{UBI\_{\text{ECP}} + UBI\_{\text{FCP}}} \times y\_{\text{UBI}}(x) $$ As an FCP: $$ UBI\_{FCP,i}(x)= \frac{\sum\limits\_k N\_{FCP,i}(GPU\_k) \times f\_k \times P\_{FCP,i} \times W\_{FCP} }{UBI\_{ECP}+UBI\_{FCP}} \times y\_{\text{UBI}}(x) $$ *** ### Conditions for CP to Receive UBI A CP must meet certain conditions to qualify for UBI: 1. **Sufficient Collateral**: $$ Collateral\_{ECP}= \sum\limits\_k N\_{ECP}(GPU\_k) \times C\_{base} \times f\_k $$ $$ Collateral\_{FCP}= \sum\limits\_k N\_{FCP}(GPU\_k) \times C\_{base} \times f\_k \times W\_{FCP} $$ Where: * $$N\_{ECP}(GPU\_k)$$ represents the number of ECP for $$GPU\_k$$ * $$C\_{\text{base}}$$ is the base collateral, with an initial value of 3533 (this value will be dynamically adjusted based on the daily computing units of the entire network; for specific adjustment rules, check [here](/legacy-swan-1.0-archived/collateral-requirement-and-earning-multiplier.md)) * $$N\_{\text{FCP}}(\text{GPU}\_k)$$represents the number of $$\text{GPU}\_k$$ *in FCP* * $$N\_{\text{ECP}}(\text{GPU}\_k)$$ represents the number of $$\text{GPU}\_k$$ in ECP. * $$W\_{FCP}$$ represents the FCP resource bonus ratio, currently set at a constant value of 1.2 {% hint style="info" %} **NOTE:** The value of $$W\_{FCP}$$, 1.2, means that if the same configuration of servers is deployed for FCP, it will generate 20% more earnings than ECP. {% endhint %} 2. **Completion of Basic Test Tasks:** * FCP: Sampling task * ECP: ZK task 3. GPU count and type are also factored into the UBI eligibility. #### Exit Mechanism: * CP Exit Mechanism If a CP wishes to exit, they must set `taskType` = 100. * The CP will no longer receive any tasks and will not incur any collateral deductions. * The CP will no longer appear on [the current dashboard list.](https://provider.swanchain.io/overview) * CPs can request to withdraw their collateral, but this requires a 7-day confirmation period to ensure settlement before the withdrawal is finalized (first `requestWithdraw`, followed by `confirmRequest` after 7 days). ***