So this post is aimed at explaining how and why you should buy and stake some Matic. Staking going live on June29.
Do you know that the most recent and newest trend in the crypto space is Staking. Many people have cultivated the habit of HODL because we want to hold coins we believe in for a very long time. But Holding coins for years with no ROI is not so wise. This is why different Blockchain networks are rolling out staking features for their users to get returns on the amount of coins they are able to invest their money whole they HODL for long term.
To join the Matic Network Staking starting on 29th of June, there are some important things you need to know. Like important terms which needs to be understood if at all you want to join the staking and get rewards from your investments.
Firstly, you need to know who a DELEGATOR and a VALIDATOR is. Let's go 🚀
DELEGATORS are token holders, someone who has bought Matic token and is willing to stake for rewards but can't run a VALIDATOR Node of their own. To be able to get reward from staking, Delegators will have to delegate their tokens to a validator and get part of their revenue in exchange for their delegated tokens. This simply means Delegators get part of their validator revenue and on the other hand, since they share profit with their validators, they also share risks too.
Delegators are very important in this system because they are responsible for choosing a VALIDATOR and this way they are able to be part of the staking mechanism to help secure the network and earn rewards from staking.
All VALIDATOR take a some percentage of Delegators staking reward as commission which stands as their own gain since they are running the Node of Delegators behalf. But if you are a DELEGATOR and you delegate your token to Matic Foundation Node, you may not pay a percentage of your earnings as commission because they won't charge for commission.
Becoming a DELEGATOR in Matic Network is no big deal, there's no rules to become a DELEGATOR, all you need to do is get an Ethereum wallet and stack up some Matic token in it, even as low as 1 Matic.
How to Access and Log into Staking Dashboard
To become a DELEGATOR, you have to navigate to the staking dashboard, Here is the Testnet Link you can try with.
On the homepage there's a list which contains network statistics (total validators, total Matic token staked on the Network and rewards distributed so far) and just beneath will be a list of Validators you can choose from.
The delegation process will only begin after you connect the Ethereum wallet where you have the Matic you want to stake. This can be done in 2 ways, it's either you connect a mobile wallet (Matic Wallet) or you Connect to your meta-mask if you have the Ethereum wallet on your meta mask.
After logging in successfully, you can now begin your delegation process.
After logging in, you will have to return to the homepage and at the top, there's a description or banner saying, Become a Delegator. By clicking on this, you will get to the validator list on the homepage where you will see all list of Validators on Matic Network together with some other important information you need to know like commission rate, total Matic staked with each validator and other useful information which can be seen if you click on each validator to see. Beside each validator, there's a DELEGATE button.
After checking thoroughly and selecting which validator you'd like to stake with, you can now click on DELEGATE if you are on the homepage where all validator is showing or "DELEGATE NOW" if you are on Validator information page.
After clicking, you'd be taken to a page where you are required to fill in some information, such as the amount of Matic you are willing to stake, by filling in the amount of Matic you want in the "STAKE" field, you will be able to see the projected reward per checkpoint.
After doing this, you should click on DELEGATE NOW, after clicking, two confirmation will be sent hi your wallet for signing, once you sign and your staking is successful, you will get a Congratulatory message for confirmation.
This is to confirm that your are now a Matic Network DELEGATOR.
Your dashboard will display your some important information, your Matic balance, your staking and the rewards. You can stake with more than one Validator using same address and it takes 12 confirmation for your staking to reflect, so do not worry if it doesn't reflect immediately.
Claiming Reward as a Delegator
At a point in time, you will want to claim your reward, either to withdraw or restake rewards. Firstly, you have to click on "MY REWARDS" on the homepage, this will take you to the reward page where you will see the list of validators you have delegated to. This page will also be showing your reward from each DELEGATOR with two other options which are:
- Withdraw Rewards
- Stake Rewards
Your reward history is also available on the same page which shows what you did with your previous rewards, either withdraw to wallet or Restake.
By clicking on the first option which is "Withdraw Rewards", it means you want your reward from that particular validator you clicked on to go directly to your connected wallet. This will send confirmation to your wallet and once confirmed. Your reward will be sent to your wallet.
If you click on the second option which says "Stake Reward", it means you don't want to receive your reward in your wallet, rather you want to restake. This will send you 2 confirmation to your wallet, the first is to claim your reward and the second is to restake it for you.
Once you complete the restake process, after 12 confirmation, an update will show on your dashboard which must have added the new staking amount to your Matic balance and also your new reward.
Delegating Matic On Matic Network is that easy. What is stopping you from buying Matic and joining the Staking Train on 29June?
Nothing should stop you. Earn rewards from HODL. A word is enough for the wise.
THANKS FOR READING