The value of payments is based on the number of pixels of video transcoded. Orchestrators advertise a price per pixel off-chain. Broadcasters filter and select orchestrators based on a maximum price per pixel that they are willing to pay for transcoding.
The video profiles requested by broadcasters will impact the number of pixels transcoded. A higher number of video profiles or more complex video profiles will require more pixels to be transcoded and also require more payments.
Payments are implemented using a probabilistic micropayment protocol.
Broadcasters send "lottery tickets" to Orchestrators in exchange for transcoded results. Each "lottery ticket" is defined with:
Each ticket is treated as a micropayment worth the expected value of the ticket (calculated as: face value multiplied by probability that the ticket will win).
Orchestrators will redeem winning tickets on-chain, to receive the face value of tickets.