Terra / LUNA Delegation Guide

Put your LUNA to work and delegate to Staked!

5 min readMay 23, 2019

The Terra mainnet officially launched on Tuesday, April 23, 2019 at 8 PM EST (3:00 UTC).

To delegate your Luna to Staked, please use the following validator address:

       terravaloper1h6rf7y2ar5vz64q8rchz5443s3tqnswrpf4846

There is a 21 day unbonding process for staked Luna during which delegated Luna does not earn rewards and cannot be transferred, exchanged or spent. Luna can however be slashed during the unbonding period.

Delegation is non-custodial and delegates cannot spend your Luna. Staked pays 90% of the block rewards and transaction fees to delegates, and offers the industry’s only 100% SLA on block production.

Key Risks

Terra’s staking model uses “hard slashing”, which means that customer funds are at risk of being slashed in the event of a) double-signing blocks and b) extended validator downtime. You could lose a portion, or potentially up to 5% of your investment by participating in staking. Consider the risks and choose a validator carefully.

Summary

Terra is a Tendermint-based next-generation payment system that aims to be a family of cryptocurrencies that are each pegged to the world’s major currencies including the USD, EUR, CNY, JPY, GBP and KRW. Terra’s flagship currency, TerraSDR, will be pegged to the IMF SDR and serve as the unit of account for the Terra protocol (eg to denominate transaction fees). The protocol ensures price-stability via an algorithmically expanding and contracting supply token supply.

Daniel Shin, co-founder of Terra, is also the founder and chair of TicketMonster, a leading Korean e-commerce company. TicketMonster has raised $525M in the nine years of its existence from leading venture capital firms including Kohlberg Kravis Roberts (KKR). Shin has first hand experience with expensive credit card fees and understands the need for an efficient digital payment system.

Network Economics (08/26/2019)

Terra utilizes a two token system: Terra and Luna. Luna serves as collateral for Terra, the stablecoin for the network. Luna powers the Terra DPoS blockchain, which provides stability and security to the network. There are two ways which miners are incentivized and compensated: transaction fees and seigniorage.

All Terra transactions pay a small fee to miners. Fees default to 0.1% and are capped at 1%. When demand for Terra increases, the system mints Terra and earns Luna in return. The system then burns a portion of the earned Luna, while the remaining portion of seigniorage goes to the Treasury to fund fiscal stimulus.

Luna Staking Delegation Instructions

Download the Terra Station wallet at http://terra.money.

Logging Into the Terra Station Desktop Wallet

Choose to either Create New Account or Import With Seed based on the criteria detailed on the next page.

Import With Seed: You Have Not Claimed Your Luna

1. If you have not yet claimed your Luna from the fundraiser, choose the Import With Seed option from the Terra Station login menu.

2. You will be prompted to create an account name and password, and enter your 24 word seed phrase (mnemonic) from the fundraiser.

Create New Account: You Have Already Claimed Your Luna

1. If you have already received your Luna from the fundraiser, and can send them to a Luna address, choose the Create New Account option from the Terra Station login menu.

2. You will be prompted to create an account name and password, and securely back up the 24 word seed phrase (mnemonic) for your Terra Station wallet account.

3. Send the Luna you want to stake to the newly created Luna address in your Terra Station wallet.

Once You Are Logged Into the Terra Station Wallet

1. Click on the Staking tab in the global menu on the left hand side of the Terra Station wallet.

2. In the Staking tab, click on the Validators section and then click on Staked from within the list of validators.

3. Click on the blue Delegate button in the upper right hand corner of the screen to open the delegate lightbox modal.

4. Enter an amount of Luna to delegate. Make sure the address in the to field is:

terravaloper1h6rf7y2ar5vz64q8rchz5443s3tqnswrpf4846.

Click Next on the Delegate screen, Next on the Confirmation screen, enter your Terra Station password, and click Submit.

The My Delegations section in the Staking tab will display a list of your successful Luna delegations.

If you would prefer to use the CLI to delegate, enter the following command into the Terra CLI.

`terracli tx staking delegate terravaloper1h6rf7y2ar5vz64q8rchz5443s3tqnswrpf4846 76uluna — from Staked — chain-id=columbus-1`

Have questions about staking Luna? Find time to speak here.

About Staked

Staked helps institutional investors reliably and securely compound their crypto by 5% — 100% annually through staking and lending. Staked runs validation nodes for proof-of-stake currencies and offers access to on- and off-chain lending options that provide an annualized yield of in-kind currency.

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