How to Stake $KLY Token with Klayr
2024-07-15
Staking your $KLY tokens with Klayr is a fantastic way to earn additional rewards while helping secure the Klayr network. This guide will walk you through everything you need to know about staking, from understanding the basics to becoming a validator. Learn how staking contributes to the decentralization and security of Klayr’s blockchain, and discover the step-by-step process to stake your tokens using the Klayr Desktop Wallet.
Key Takeaways
- Staking Rewards: Staking $KLY tokens offers high earning potential with rapid, passive growth due to Klayr's efficient block generation.
- Network Security: Staking contributes to the decentralization and security of the Klayr network, making it more resilient against attacks.
- Two Staking Options: You can stake $KLY tokens with a validator or become a validator yourself, each with its own set of benefits and requirements.
Klayr's native token, $KLY, will be listed on Bitrue starting July 22. To stay updated on new listings and programs, be sure to follow Bitrue on X (formerly Twitter) and check out Bitrue’s blog for the latest update in crypto space.
What is Staking?
Staking is a process by which cryptocurrency holders lock up their tokens to support the operations of a blockchain network. In return for staking their tokens, participants can earn rewards. While staking is a great way to earn additional $KLY tokens, the act of staking also helps secure the Klayr network. The more $KLY tokens used for staking, the more decentralized the network becomes. A truly decentralized network is much harder to attack as the stake required to take over the network is made more difficult to obtain. Staking is an essential mechanism in proof-of-stake (PoS) blockchain networks, ensuring decentralization and security.
Why Stake with Klayr?
There is an impressive earning potential when you stake your $KLY tokens. Because Klayr launched its blockchain with a 7-second block time and an average block reward of 2 $KLY tokens, these high rewards come in fast, allowing for rapid, passive growth.
Ways to Stake $KLY Tokens
On the Klayr network, there are two ways to earn additional $KLY tokens through staking. You can stake $KLY on a validator to secure the network or even become a validator yourself.
Staking with a Validator
The most common method of staking $KLY is by staking with a validator. This involves locking your tokens with validators who offer to share their block rewards with those who stake with them. The lower their commission percentage is set, the more rewards they share.
Becoming a Validator
The Klayr network is secured by 51 active validators and 2 stand-by validators. For every block generated by an active validator, the validator who generated it earns $KLY proportional to their total staked $KLY. Stand-by validators earn a 2 $KLY token reward. Additionally, all validators earn the majority of the transaction fees within the block.
To become a validator, you must stake a minimum of 100 of your own $KLY tokens on yourself and have a total stake of at least 1,000 $KLY.
How to Stake with Klayr Desktop
Navigate to Validator Profile
Use the search bar to find a validator by name or address, or go to the validator page and click on your chosen delegate.
Stake on the Validator
On the validator profile page, click the “Stake validator” button.
Enter Stake Amount
Enter the amount of $KLY you wish to stake with for this validator, then click the “Confirm” button. This will add the vote to your staking queue.
Verify and Confirm
Click the “Go to the staking queue” button to go directly to your queue. Verify your new stakes are correct and click continue.
Final Confirmation
You’ll be taken to a confirmation page. Again, verify your stakes and click the ‘Confirm’ button.
Enter Password
You’ll be prompted for your account password. Enter it and click the ‘Continue’ button to send your stakes to the network.
FAQs
What is staking?
Staking is the process of locking up cryptocurrency tokens to support a blockchain network, earning rewards in return.
Why should I stake my $KLY tokens?
Staking $KLY tokens offers high rewards and helps secure and decentralize the Klayr network.
How can I stake my $KLY tokens?
You can stake $KLY tokens by either staking with a validator or becoming a validator yourself.
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Disclaimer: The content of this article does not constitute financial or investment advice.
