> ## Documentation Index
> Fetch the complete documentation index at: https://docs.autheo.com/llms.txt
> Use this file to discover all available pages before exploring further.

# NFT rewards

> How Autheo Chain's dual-stream emission model works: per-block NFT rewards, the remainder carry mechanism, the global emissions cap, and how to claim.

Autheo Chain implements a dual-stream emission model. Community rewards and NFT emission rewards share a single global emissions cap and are both minted per block. NFT rewards operate completely independently from staking rewards.

## Reward tiers

| Tier      | Annual emission (THEO) | Annual emission (aauth)         |
| --------- | ---------------------- | ------------------------------- |
| Sovereign | \~187,969              | 187,969,000,000,000,000,000,000 |
| Prime     | \~18,797               | 18,797,000,000,000,000,000,000  |
| Core      | \~1,880                | 1,880,000,000,000,000,000,000   |

## Per-block reward formula

With a 5-second block time, there are approximately 6,307,200 blocks per year (31,536,000 ÷ 5).

```
reward_per_block = AnnualUtheo / 6,307,200
```

Default per-block values:

| Tier      | Per-block (aauth)        |
| --------- | ------------------------ |
| Sovereign | \~29,802,050,528,169,014 |
| Prime     | \~2,980,205,052,816,901  |
| Core      | \~298,020,505,281,690    |

## Remainder carry mechanism

To prevent truncation losses from integer arithmetic, the system carries remainders across blocks:

```
totalWithRemainder = totalMintDec + GetNFTRemainder(ctx)
totalMintInt       = truncate(totalWithRemainder)
newRemainder       = totalWithRemainder - totalMintInt
```

The `newRemainder` is stored in the `x/emissions` KV store and added to the next block's calculation.

## Global emissions cap

The default cap is **7 billion THEO** (`7,000,000,000,000,000,000,000,000,000 aauth`). Once reached, no community or NFT rewards are minted. Staking inflation from `x/mint` is **not** counted against this cap.

## Eligibility

A license qualifies for per-block rewards only when **all** of the following are true:

* Status is `LICENSE_STATUS_ACTIVE`
* A binding record exists
* The bound validator is not jailed
* A delegation record exists with positive token value (dust shares excluded)

## Staking vs. NFT rewards

| Aspect        | NFT emission rewards                   | Staking rewards                 |
| ------------- | -------------------------------------- | ------------------------------- |
| Source module | `x/emissions`                          | `x/mint`                        |
| Distribution  | `x/licensedistribution` (manual claim) | `x/distribution` (auto)         |
| Basis         | Fixed per license tier per block       | Proportional to delegated stake |
| Emissions cap | Counted against 7B THEO cap            | Not capped by `x/emissions`     |
| Accrual       | KV balance (pull model)                | Auto-credited per block         |

## Querying accrued rewards

```bash theme={null}
autheod query emissions license-accrued-rewards <license-id>
autheod query emissions nft-rewards <cosmos-address>
```

## Claiming rewards

```bash theme={null}
# Claim to signing key's address
autheod tx licensedistribution claim-nft-rewards <license-id> \
  --from <owner-key> \
  --chain-id autheo_2127-1 \
  --keyring-backend file

# Claim and redirect to a different recipient
autheod tx licensedistribution claim-nft-rewards <license-id> \
  --recipient <recipient-address> \
  --from <owner-key> \
  --chain-id autheo_2127-1 \
  --keyring-backend file
```

Accrued rewards accumulate indefinitely. There is no expiry or automatic sweep.

## Governance parameters

| Parameter                | Default                          | Description                                      |
| ------------------------ | -------------------------------- | ------------------------------------------------ |
| `Enabled`                | `true`                           | Master on/off switch                             |
| `EmissionsCap`           | 7B THEO                          | Maximum total mintable by x/emissions            |
| `CommunityPerBlockUtheo` | 55,492,135,971,600,000,000 aauth | Community pool reward per block                  |
| `SovereignAnnualUtheo`   | \~187,969 THEO                   | Sovereign tier annual emission                   |
| `PrimeAnnualUtheo`       | \~18,797 THEO                    | Prime tier annual emission                       |
| `CoreAnnualUtheo`        | \~1,880 THEO                     | Core tier annual emission                        |
| `BlockTimeSeconds`       | 5                                | Block time assumption for per-block calculations |