Demand for zero-fee blockspace is exceeded
When demand for STORE zero-fee blockspace exceeds available supply provided by STORE miners, there aren't enough inflationary rewards to pay miners to provide security for the excess transaction demand.
DyPoS Surge kicks in
With high demand for STORE zero-fee blockspace, transaction fees are introduced to ensure that senders can get their transactions through. The transaction fees increase as the demand increases. Rebalancing occurs every 30 seconds. This system is called DyPoS Surge. It lets STORE Chain provide zero-fee blockspace for as much transaction demand that STORE miners are willing to provide, while ensuring STORE miners get paid to secure the excess demand. Miners vote to determine both their maximum inflation threshold and excess blockspace capacity.
Transaction senders pay fees or wait for the rebalance
When fees are charged for transactions, STORE wallets let transaction senders know that DyPOS Surge is on. Some senders will choose to pay, while others will wait for zero-fee blockspace to activate.
Some fees are paid to miners, most fees are burnt
To disincentivize manipulation, 25% of fees are paid to miners while 75% are burnt (removed from circulation). The more excess demand for blockspace, the higher the DyPoS Surge. Surge Fees are predictable and non-exploitative.