# Divi 3.0 Fork Retires Masternodes and Moves Rewards to Validators

> Divi's 3.0 hard fork took effect at about 12:00 UTC on August 23, 2023, ending the network's masternode system and folding its rewards into proof-of-stake validation. The total block reward stayed at 950 DIVI, but the staking share rose sharply, and node owners had to upgrade to keep earning.

Source: https://cryptomorrow.com/2023/08/23/divi-3-0-fork-retires-masternodes-and-moves-rewards-to-validators/
Last checked: 2026-11-13

The [Divi](https://www.diviproject.org) network went through a major structural change on **August 23, 2023**, when a scheduled hard fork retired its masternode system and moved its reward model to validators and staking vaults. The fork was set for 12:00:00 GMT at roughly block 2,580,163, according to the project's [briefing on the new reward distribution](https://www.diviproject.org/divi-project-blog/divi-3-0-new-reward-distribution).

*Historical news event: 2023-08-23. Retrospective report prepared November 2026.*

For people running Divi masternodes, the day meant more than a version number. It changed how taking part in the network was recognized and paid. The briefing urged operators to upgrade and explained that the overall block reward wasn't going up just because the categories of recipients were changing.

## What the August fork changed

Before the fork, Divi split each block reward among several groups: 45% to masternodes, 38% to stakers, 9% to development and marketing, 7% to exchange, liquidity and platform support, and 1% to charity, with an extra 50 DIVI per block for a lottery. Treasury and lottery payments were minted weekly, every 10,080 blocks. Masternodes are a feature of several proof-of-stake coins; our explainer on [what a masternode is](/2017/09/08/what-is-a-masternode/) covers the basics.

Under Divi 3.0, masternodes were retired and received nothing. The block reward stayed at 950 DIVI per minute and was set to keep declining each year until 2029. The project's published schedule shows the masternode column dropping to zero at the August 2023 fork block, while the staking share of each block rose to 747 DIVI. Treasury, charity and lottery allocations continued at smaller amounts.

![Table of Divi block rewards by year from 2018 to 2031, showing the masternode share falling to zero and staking rising to 747 DIVI at block 2,580,163 in August 2023](/static/up/2023/08/cm-038-divi-block-reward-schedule-table.webp)

*Image: [Divi Project](https://www.diviproject.org)*

The project said coins that had been locked in masternodes would likely move into staking, which could mean larger but less frequent rewards for individual stakers. Developers also framed the change as a simplification. Running two separate classes of paid infrastructure adds maintenance and coordination work, and consolidating into one validation model reduces that, though it doesn't remove every network security risk.

## Staking vaults and separated keys

Divi had explained the intended user experience two months earlier in a post on [staking vaults](https://www.diviproject.org/divi-project-blog/divi-3-0-staking-vaults-revisited), which we cover in [Divi 3.0's staking vault design](/2023/06/25/divi-3-0-explains-staking-vaults-that-separate-validator-keys-from-funds/). A validator could do the network work while the wallet that controls the staked coins stayed separate, even offline. The aim is to keep less key material on machines that must stay connected to the internet.

Vaults weren't new to Divi. When the project brought staking vaults to its mobile wallet in October 2021, Nick Saponaro, then co-founder and CEO, told [Financial IT](https://financialit.net/news/payments/divi-introduces-mobile-staking-vaults-industry-first-crypto-wallets): "By pushing complexity to the background we've ensured that anyone can put their coins to work and be rewarded for securing our network." For more on the general idea, see our older guide to [staking wallets](/2017/10/23/staking-wallet/).

## What it meant for coin holders

Divi was clear that coins wouldn't disappear if someone missed the upgrade. The briefing told users that "if you have not upgraded your node or vault by the time of this fork, you will not break anything, your funds are safe." The practical problem for an outdated node was that it would stop earning valid staking rewards until compatible software was installed.

The project pointed users to three upgrade paths: using vaults in the Divi mobile wallet, staking or using a vault in the latest desktop wallet, or upgrading command-line nodes to the [v3.0.0 release on GitHub](https://github.com/DiviProject/Divi/releases/tag/v3.0.0).

That distinction matters. A hard fork can break compatibility between old and new software without requiring any holder to hand coins to a new party. Users still needed to follow official instructions and ignore any message asking for private keys.

## Checking the result

Two months later, Divi published a [migration debrief](https://www.diviproject.org/divi-project-blog/divi-3-0-migration-is-complete) describing the move to core version 3.0.0 as complete, a milestone covered in our report on [Divi completing its 3.0 migration](/2023/10/25/divi-project-completes-version-3-0-migration-and-retires-masternodes/). The debrief gave the fork's official time as about 12:00 UTC on August 23 and cited the first reward under the new rules at **block 2,580,193**, mined at 12:18 UTC and worth 747 DIVI.

The project said more than 90% of the network had adopted the new version within seven weeks. It also reported that average daily difficulty rose from about 30,000 to about 50,000 and that the orphan block rate halved to under 10 a day. Nodes that didn't update in time stayed on the old chain, were banned by peers and eventually stalled. Those are the project's own figures.

Such details matter because they offer more than a vague claim of success: an expected transition time and an observable block on the new chain. Divi has a long history in this space, going back to its [2018 mainnet launch](/2018/10/05/divi-mainnet-has-already-launched/).

Divi 3.0 shows a familiar truth about blockchain upgrades. Protocol changes come with diagrams and community debates, but the deciding moment is whether participants upgrade, reach consensus and keep the network running under the new rules. August 23 was that moment for Divi's new staking design.

## Frequently asked questions

### When did the Divi 3.0 fork happen?

The Divi 3.0 hard fork took effect at about 12:00 UTC on August 23, 2023, around block 2,580,163. The first block under the new rules cited by the project was 2,580,193, mined at 12:18 UTC.

### Does Divi still have masternodes?

No. Divi retired masternodes at the August 23, 2023 fork, and their share of block rewards moved to staking validators.

### Did Divi holders lose coins if they didn't upgrade?

No. Divi said funds were safe, but nodes and vaults that hadn't upgraded would stop earning staking rewards until they installed compatible software.

### What is the Divi block reward after 3.0?

The block reward stayed at 950 DIVI per minute after the fork, with 747 DIVI going to staking. It is scheduled to decline each year until 2029.

## Sources

- [Divi Project, August 2023: Divi 3.0 new reward distribution](https://www.diviproject.org/divi-project-blog/divi-3-0-new-reward-distribution)
- [Divi Project, October 2023: Divi 3.0 migration is complete](https://www.diviproject.org/divi-project-blog/divi-3-0-migration-is-complete)
- [Divi Project, June 2023: Divi 3.0 staking vaults revisited](https://www.diviproject.org/divi-project-blog/divi-3-0-staking-vaults-revisited)
- [Divi core v3.0.0 release on GitHub](https://github.com/DiviProject/Divi/releases/tag/v3.0.0)
- [Financial IT, October 4, 2021: Divi introduces mobile staking vaults](https://financialit.net/news/payments/divi-introduces-mobile-staking-vaults-industry-first-crypto-wallets)

*Featured image: [Divi Project](https://www.diviproject.org)*