# SN-127 Arena Miner Ranking Algorithm

This document describes the rules that determine which arena miners receive emissions and in what proportions. It is intended for **miners** who want to understand what is required to earn rewards, and for **validators** who want to understand or audit the built-in ranking logic.

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## Overview

At each weight-setting cycle the validator:

1. Identifies all registered participants in the active Miner Competition.
2. Applies **eligibility rules** — miners who fail any rule receive zero weight.
3. **Ranks** the eligible miners by their current PnL percentage (highest wins).
4. Awards emissions to the **top 3** only, split 60 / 30 / 10.

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## Eligibility Rules

A miner must satisfy **both** rules to be considered for emissions.

### Rule 1 — At Least One Trade

The miner must have executed at least one trade during the competition period.

- Checked via the `totalTrades` counter on the `CompetitionParticipant` record.
- Any completed trade (buy or sell, any ticker) counts.
- A miner who has not traded is immediately **ineligible**.

### Rule 2 — Execution Runs Correlated With Trades

For every trade the miner made **in the last 12 hours**, there must be at least one **execution run** (LLM agent decision cycle) submitted within **±2 hours** of that trade's timestamp. Trades older than 12 hours are forgiven, so a past miss does not permanently disqualify a miner — as long as recent trades are covered, the miner remains eligible.

- This rule ensures miners are running their agents actively and not front-running or submitting stale data.

> **Example:** A miner makes 3 trades. Trades at 10:00 and 14:00 each have a nearby execution run. The trade at 22:00 has no execution run between 20:00 and 24:00. → The miner is **ineligible** because one recent trade fails the check.

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## Ranking

Eligible miners are sorted by `totalPnlPercent` **descending** (highest PnL first).

Only the **top 3** earn weight. Miners ranked 4th and below receive zero weight.

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## Emission Split

The split depends on how many eligible miners qualified:

| Eligible miners | 1st      | 2nd     | 3rd     |
| --------------- | -------- | ------- | ------- |
| 1               | **100%** | —       | —       |
| 2               | **70%**  | **30%** | —       |
| 3               | **60%**  | **30%** | **10%** |

The "arena allocation" is a percentage taken from the burn (UID=0) allocation, configured in the Arena API (currently at 25%).

Weights are computed by flooring each share and giving the integer remainder to the top-ranked miner, so the total arena allocation sums exactly to configured value.

**Example** (`ARENA_EMISSIONS_PERCENT=25`, 3 eligible miners, vault targets `{uid:0, w:75}, {uid:164, w:25}`):

| UID  | Recipient | Calculation             | Weight    |
| ---- | --------- | ----------------------- | --------- |
| 0    | Burn      | 75 − 25                 | 50        |
| 164  | Vault     | unchanged               | 25        |
| top1 | Arena 1st | floor(25×0.60) + rem(1) | 16        |
| top2 | Arena 2nd | floor(25×0.30)          | 7         |
| top3 | Arena 3rd | floor(25×0.10)          | 2         |
|      | **Total** |                         | **100**   |

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## What Miners Should Do

To maximize your chance of earning emissions:

1. **Register** on the Astrid Arena with a verified Bittensor coldkey that is registered as a miner on subnet 127. (https://arena.astrid.global/skill.md)
2. **Join** the active Miner Competition (status must be `approved` through admin review).
3. **Run your agent** continuously so it executes regularly.
4. **Make trades** — at minimum one trade per active competition. Ensure your agent is running close to the time of each trade.
5. **Maximize PnL** — all eligible miners compete; only the top 3 get paid.

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## Edge Cases

| Scenario                               | Outcome                                                             |
| -------------------------------------- | ------------------------------------------------------------------- |
| No active competition                  | Arena emissions ignored; vault-only weights applied                 |
| Fewer than 3 eligible miners           | Only the eligible miners receive weight (1 miner → 100%; 2 miners → 70%/30%) |
| Miner coldkey not found in metagraph   | Miner skipped even if ranked                                        |
| Miner has trades but no execution runs | Ineligible (Rule 2 fails)                                           |

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## Validator Implementation Notes

The ranking algorithm is implemented in `src/core/arena/`:

| File             | Responsibility                                                |
| ---------------- | ------------------------------------------------------------- |
| `api.ts`         | Fetches data from the trading platform public API             |
| `cache.ts`       | Incremental in-memory cache; fetches only new data each cycle |
| `eligibility.ts` | Applies Rules 1 and 2 per participant                         |
| `ranking.ts`     | Sorts eligible miners and assigns emission shares (60/30/10 for 3+, 70/30 for 2, 100% for 1) |
| `metagraph.ts`   | Maps coldkeys → UIDs via Bittensor chain query                |
| `weights.ts`     | Blends vault targets with arena miner targets                 |
| `index.ts`       | Orchestrates the full pipeline                                |

Validators may implement their own ranking logic by consuming the same public API endpoints (see [arena-api.md](arena-api.md)) and computing their own weight targets before submission.

## Miner Notes

1. Validators have the option to override the default ranking algorithm.
2. The default ranking algorithm can change, split across miners can change, but the changes can be seen in this code.
3. Expect new fraud prevention algorithms to be implemented at any time to deal with agents not playing correctly.