Komodo 5% Active User Reward - All You Need to Know

What is the 5% Active User Reward?

Any Komodo address holding an unspent transaction output (UTXO) of value greater than 10 KMD will begin earning a reward once the lock time is set about 1 hour after a transaction that creates the UTXO is mined. The rewards will stop accruing 1 month after a transaction to reward active users, so claiming your reward at least once a month is recommended. If the reward is claimed at least once a month, the total reward adds up to 5.1% in a year. 

This reward does not apply to funds kept on most exchanges where you do not own the private key! That means that if you want to claim your 5% reward you should transfer your KMD from an exchange wallet to your personal wallet.



Please don't confuse this with Proof of Stake (PoS). You don't have to be online or run a full node (native mode) to receive the reward. Komodo's UTXOs accrue rewards based on UTXO value and nlocktime. Click here for more detailed technical information.


In simpler terms, the calculation of rewards depends on an optional value included in a transaction's data, called nLockTime. Most wallets do not set this parameter. AtomicDEX and Verus Desktop does, and thanks to the work of Luke Childs, a Ledger device running the latest firmware also does. Generally, transactions from an exchange do not set nLockTime, so if you received funds from an exchange, with nLockTime not set, rewards will not accrue. To overcome this, the easiest method is to send the funds to yourself from within any of the above mentioned wallets. When we say "send the funds to yourself", it means from your address , to that same address. 



How much is my reward?

You can check your pending rewards balance at the following websites


A useful rewards calculator is also available at https://www.atomicexplorer.com/#/rewards-calc


How do I claim the 5% Active User Reward?

  • You need to have a minimum of 10 Komodo in your address as a single UTXO that is about 60 blocks (~60 minutes) old. 
  • If you have multiple UTXOs less than 10 KMD each, your address will not accrue rewards. To consolidate funds, you can send all funds to your own address.
  • Verify that LockTime for that transaction is set. You can verify this by searching with the txid in explorer https://kmdexplorer.io
  • Confirm the LockTime value is set as a UNIX timestamp (i.e. 1545050262). You can translate the timestamp to local time using EpochConverter


NOTE: Not all 3rd party wallets set locktime, and as a result, you may not accrue rewards using them. If in doubt, send your balance to yourself using a supported wallet to set the LockTime.


Which wallets I can use?

Always make sure to use the latest releases. Please don't use old versions, as they may not work and could be lacking the latest features.



WARNING: If you store funds on an exchange and you don't control your private keys you CANNOT claim the reward. Third-party wallets may also not support reward payment, check by sending your funds to yourself to confirm (this should trigger a reward payout event).




Additional guides are available at the links below



Important Info: 

  • 3rd party hardware or software wallets may not support the Komodo 5% Active User Reward. 
  • New KMD coins are rewarded to users when they make transactions. This includes either sending funds to others or yourself.
  • Rewards stop accruing after one month (unless a transaction is made).
  • The total rate is ~5.1% per year if done monthly or more often
  • Using Native Mode may send funds to a change address - make sure to backup your private keys afterward.


If you face any issues, please join us at the Komodo Discord to talk to our community.

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