Stake on Fantom
Fantom uses a Proof-of-Stake consensus algorithm to validate transactions and secure the network. You can participate by staking your FTM. In exchange, you are rewarded with FTM tokens. To stake, you don’t need any dedicated special hardware or device. You can do it directly from your phone or PC. While staking means locking up your tokens, they are still in your wallet and only you have access to them. You can unlock your funds anytime.
- Minimum amount: 1 FTM
- Minimum lock-up period: 0 days, earning the base reward rate
- Maximum lock-up period: 365 days, earning the maximum reward rate
- Unbonding time (time between unstaking and funds becoming available): 7 days
- Delegation fee: The network has set a fixed fee of 15% on staking rewards paid from stakers to validators for running their nodes.
Delegation fee example Assuming you earn 6.00% on a stake of 1,000,000 FTM, you'll receive 1,000,000 * 0.06 * (1-0.15) = 51000 FTM per year.
- 1.Click on "Staking" in the menu bar
- 2.Click "Delegation"
- 3.Choose the amount of FTM you would like to stake and a validator. You can click on a validator to show more information. Make sure to do your due diligence regarding the validators. A validator cannot access your funds; however, if a validator acts maliciously, your staked tokens could be reduced.
- 4.Select your lock-up period
Are my tokens SAFE when I stake?
Yes. Nobody except you will have access to your tokens. Make sure not to lose your mnemonic phrase or private key.
Can I lose my tokens when staking?
If you stake to a validator node that acts maliciously, you can lose all your staked tokens. You must choose the validator node wisely and make sure they’re reputable. Slashing delegators as well, instead of only validators, is an essential part of network security. It makes it costly for a set of bad actors to take over the majority of the network.
How do I choose a reputable validator?
Most validators for Fantom have active communities, websites, and Twitter accounts. Do your own research and ask around in the community; they will be able to help you.
Can a validator run away with my funds?
No. In any case, a validator does not have access to any other tokens than their own. However, if a validator acts maliciously, all the funds staked to that node can be lost.
What happens if a validator goes offline?
If a validator node goes offline, it stops receiving rewards since it’s not helping secure the network anymore. When it comes back online, the rewards resume.
Can I withdraw my delegation if a node goes offline?
Yes, you can.
Can I re-stake/increase my delegation?
Yes. By selecting “claim and restake,” you can restake your rewards. However, with Fluid Staking, you cannot increase an existing delegation by adding more FTM. In that case, you’ll have to create a new one.
What’s the difference between claiming rewards and claiming and restaking?
Claiming rewards will withdraw all pending rewards to your wallet. If you claim and restake, you’ll be able to compound the rewards at the same conditions as your initial delegation.
For example, if you locked up your tokens for one year for the maximum APY, you’ll benefit from the same APY even if you restake later on during the lock-up. Conversely, if you claim your rewards and want to stake them, you’ll have to create a new delegation.
Can I unlock my delegation before the lock-up period ends?
Yes, you can. However, you’ll pay a penalty for doing so. Since your rewards are always unlocked and withdrawable, the penalty will come off your staked amount. If you unlock earlier, regardless of how much of the lock-up period is left, you’ll only receive half of the base rewards; the additional rewards will be burned.
In any case, you will never end up with fewer tokens than you delegated.