The leaderboard bonus is going to be canceled.
I would like to suggest ideas for a replacement.
The leaderboard bonus has mainly promoted long time good performers. But anyway every competitor wants to perform well in the long run, so it is only another way of (extra) payout for good performers. The individual success is rewarded with the normal payout anyway. To be motivated for good results I do not miss the leaderboard bonus.
I think, a bonus should be a motivation to do something different, something better: Better for Numerai, better for the community (the focus might be a matter of discussion).
First Idea: “community bonus”
If someone reports bugs or gives valuable feedback, numerai rewards this directly to the bug/feedback-reporter, see bounties. That is great.
Numerai supports activities like Office Hours with Arbitrage, this forum, channels at rocket chat by supplying infrastructure and some Numerai team members are active there. That is great too. One of the goals, I guess, is that the whole community keeps getting better. Numerai will profit from that.
A community bonus could be defined to reinforce this.
Such a bonus could be an incentive to continually improve and also help the other competitors do so - even though we are, of course, competing and nobody wants to tell his/her secrets. But I think, we could help each other to get more stable results, avoid technical issues, improve our models and use the right methods to do ML well.
Such a community bonus could be calculated in a way like this:
community bonus = any_factor * individual stake * global regular payment
If the global regular payment is negative, it should be set to zero, because it should be a bonus and not a penalty.
Second Idea: “stability bonus”
I think, numerai is interested in stable results. So participants could get a reward, if their models show a more stable performance.
A formula for this could be:
stability bonus = any_factor * ( 1 - individual standard deviation of correlation of last 10/20 or more predictions) * individual regular payment
In case the result is negative, it should be set to zero.
The above suggested bonuses could be financed with the savings on the canceled leaderboard bonus or by appropriately cutting the individual payments.
What do you guys think about this?