What is Staking?
Staking is a process used to verify cryptocurrency transactions. It involves committing holdings to support a blockchain network and confirm the transactions. It also allows participants to earn passive income on their holdings at a verying percentage of what has been staked, known as the APY.
How to Stake
In order to stake, staking pools must be open or not be full. When there is a staking pool open, the process is very simple:
- 1.Select the staking pool you would like to contribute to (If the pool is closed it will say closed on its background)
- 2.You will then be asked to connect your wallet to the staking pool you have chosen by way of a pop up. (As previously mentioned, ensure you have selected Polygon as the network to use)
- 3.Once your wallet is connected to the staking pool you will see information such as APY, the $BLOK price and how much $BLOK has been locked up in that current staking pool. Note: If this is your first time at staking $BLOK in our pools, you will firstly need to allow your wallet to interact with the bloktopia staking pool and this is the first transaction of two that you will be asked to approve by your wallet.
- 4.Once approved, you are ready to decide how many $BLOK you want to stake. Type in the amount you want and then press stake. Your wallet will ask for approval for the second time. There is no minimum or maximum $BLOK set to stake into a pool.
You have now staked $BLOK tokens and the pool will show you the date on which the staking pool matures. You will not be able to unstake your tokens earlier than this date.
Types of staking pool
Currently, we only offer staking pools where you stake $BLOK and earn $BLOK as rewards. Typically, we launch staking pools in sets of three –
1. A 20% APY pool with a 90 day maturity period
2. A 40% APY pool with a 180 day maturity period
3. A 60% APY pool with a 360 day maturity period
Difference between Staking and JOBE
Staking $BLOK in the staking pools means you receive more $BLOK at the end of the staking term.
For example, if you stake say 10,000 $BLOK in the 20% APY 90 day maturity pool – After 90 days you will receive your initial 10,000 $BLOK back plus 493 BLOK you earnt as interest.
Where as staking $BLOK in JOBEs means that you get a share of the rental income the JOBE produces.
The maximum amount of $BLOK a single person can stake in a JOBE is 4,800. However, this 4800 stake can be repeated as many times as desired (up until the filling of the JOBE) and this returns 10% of the invested amount yearly. This is paid in $BLOK tokens.