Hotspots earn HNT for building and securing network infrastructure and transferring device data. The amount of HNT distributed to Hotspots depends on the type of “work” they perform based on the value to the network. This validation of network contribution is accomplished by a new work algorithm called Proof-of-Coverage (PoC).
To participate in PoC there must be multiple Hotspots at least 300 meters apart in an area, but still within range of each other (up to many miles depending on environment).
Single Hotspots earn less as they can only issue Challenges over the internet, and can’t participate in Proof-of-Coverage. After the first year, distribution amounts adjust.