Compensation Proposal for Miner’s Assets Freeze Due to Issue #500

To all miners,

On September 20th (UTC time), issue #500 occurred on Khala network at block height #426612, which unfortunately caused some Workers to extend the Stake lock-up time. Phala team immediately fixed the issue after receiving feedback.

However, due to Issue #500, 102 Workers’ $PHA were locked up and have not been released since.

Therefore, as a representative of miners, I initiated the following compensation proposal in the interests of miners that were affected by Issue #500.

The details of Issue #500 are as follows:


Because the Release state is overwritten, the Worker will freeze the Stake if it is repeatedly added to the new Pool after CD state is Removed.

Tracking issue

Affected block interval #426612 (September 20th, UTC) to #519294 block (October 6th, UTC)


After the official emergency fix, Issue #500 was prevented from ever happening again. A method was found to release the locked $PHA of these 102 Workers.

I recommended that the Phala team take a snapshot of all accounts affected by Issus #500 and completes the compensation distribution through a voting of a referendum.

Affected users

If you used Remove Worker and added to the new Pool before the fix but you cannot confirm- please Withdraw immediately so that you can gather information during the snapshot. The list of snapshots will be announced after the proposal is passed.

Compensation suggestions

Due to Issus #500, a total of 102 Workers’ Stake lock periods have been extended. During the lock-up period, the abnormally-locked $PHA should obtain the corresponding staking income. According to the current average ~20% APY of Khala network, from 9/20 to 11/13 (a total of 54 days) around 3% of staking income should have been obtained.

I hope to compensate for an additional 2% on the basis of the 3% of staking income. In total, the affected account will receive an income compensation of 5% of the locked up amount. According to this proposal, I will initiate a referendum and have it reviewed by the Council. Compensation will be distributed according to the final snapshot list after it is passed by the community voting.

Zhe Wang
Core Phala Mining Leader