# Proposal to fund the distributor bot in Ethereum

**URL:** <https://research.lido.fi/t/proposal-to-fund-the-distributor-bot-in-ethereum/7986>\
**Category:** Proposals\
**Created:** [August 5, 2024, 4:44pm UTC](https://research.lido.fi/t/proposal-to-fund-the-distributor-bot-in-ethereum/7986 "2024-08-05T16:44:20Z")\
**Posts on this page:** 4\
**Page:** 1

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**Author:** ![Raman\_Siamionau](https://dub1.discourse-cdn.com/flex013/user_avatar/research.lido.fi/raman_siamionau/32/7018_2.png) [@Raman\_Siamionau](https://research.lido.fi/u/Raman_Siamionau)\
**Post date:** [August 5, 2024, 4:44pm UTC](https://research.lido.fi/t/proposal-to-fund-the-distributor-bot-in-ethereum/7986/1 "2024-08-05T16:44:20Z")

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## TL;DR

The reward distribution process among node operators has been moved from the Accounting Oracle (AO) third phase to a separate method in staking modules. This new method can be called permissionlessly after the AO third phase has been finalized and before the next AO second phase report.

We propose that the [Gas Supply Committee](https://research.lido.fi/t/nominate-the-gas-supply-committee-as-a-supervisor-for-gas-expenditure/4724) compensate for reward distribution actions.

## Technical details

[The Staking Router V2 update](https://research.lido.fi/t/lip-25-staking-router-v2-0/7773) introduced a multi-transactional AO Third Phase. Due to the unpredictable gas requirements for distributing rewards across all staking modules and to avoid reaching the gas limit in a block, the reward distribution between node operators has been moved outside the AO Third Phase to Staking Modules. To distribute rewards among node operators in a staking module, the `distributeReward` method should be called.

## Gas estimation

Staking modules require different amounts of gas to distribute rewards, depending on the number of node operators in each module. Currently, reward distribution requires sDVT and curated staking modules. The expected ETH consumption will be around 2.3 ETH per month for all current staking modules.

## Links

- [NOR Reward Distribution Bot](https://github.com/lidofinance/nor-reward-distribution-bot) source code

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**Author:** ![zuzu\_eeka](https://dub1.discourse-cdn.com/flex013/user_avatar/research.lido.fi/zuzu_eeka/32/1157_2.png) [@zuzu\_eeka](https://research.lido.fi/u/zuzu_eeka)\
**Post date:** [August 6, 2024, 9:52am UTC](https://research.lido.fi/t/proposal-to-fund-the-distributor-bot-in-ethereum/7986/2 "2024-08-06T09:52:52Z")

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As a signer of the Gas Supply Committee, I fully support this proposal.

From the perspective of the DAO Ops Workstream, I would like to mention that the [initial snapshot vote on the formation of the Committee](https://snapshot.org/#/lido-snapshot.eth/proposal/0xbfecc75c45bca53d3c5786f099d46559ac597bc3fae802d5f599b60f10b4bd4a) implied that the committee could, in the future, add new expenditures within an annual budget capped at 1,000 stETH. Therefore, this decision does not require additional confirmation from the DAO, unless there are significant opposing opinions.

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**Author:** ![George](https://dub1.discourse-cdn.com/flex013/user_avatar/research.lido.fi/george/32/6885_2.png) [@George](https://research.lido.fi/u/George)\
**Post date:** [August 6, 2024, 12:12pm UTC](https://research.lido.fi/t/proposal-to-fund-the-distributor-bot-in-ethereum/7986/3 "2024-08-06T12:12:39Z")

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As a signer of the Gas Supply Committee, I fully support this proposal.

I would like to mention that the committee is already compensating for the oracle txs that distribute rewards among operators. Putting distribution in a separate method simply changes the actor that performs this action.

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**Author:** ![kadmil](https://dub1.discourse-cdn.com/flex013/user_avatar/research.lido.fi/kadmil/32/1958_2.png) [@kadmil](https://research.lido.fi/u/kadmil)\
**Post date:** [August 8, 2024, 7:34am UTC](https://research.lido.fi/t/proposal-to-fund-the-distributor-bot-in-ethereum/7986/4 "2024-08-08T07:34:52Z")

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As a (yet another) Gas Supply Committee person fully support the motion
