The highly anticipated launch of staking on ICON commenced at 0500 UTC on Aug 26! ICON updated the ICONex wallet and Public Representatives (P-Reps) registered on-chain to run in elections to become the decentralized leaders of the ICON Republic! Loyal ICONists began immediately staking and voting for their favorite P-Reps through the ICONex interface. The early voters are being rewarded handsomely due to the limited number of votes thus far. ICON rewards decrease as more ICX is staked. As of 2120 UTC on Aug 26, a total of 52,282,054 ICX is delegated (voted), equivalent to 10.66% of the circulating supply of 490,390,519 ICX. This provides an annual reward of 30.66%. Rewards are given out in i_score on a daily basis. i_score is convertible to ICX via the ICONex wallet. P-Rep candidate Rhizome wrote a nice article about i_score today. The total supply is 800,460,000 ICX, however, this number is not as relevant to voting, since most of these coins are locked up through vesting schedules, or in ICON reserves. Figure 1 shows the delegation reward as a percentage of circulating supply, with a point marker at the current status, based on circulating supply staked.
We have written previous articles about P-Reps and also how to make a selection of P-Reps to vote for. In short, P-Reps are leaders of the ICON Republic, chosen by ICONists who vote for them through staking with them. These elected leaders run nodes to produce and validate blocks for ICON and also run the ICON network through a Governance process. The top 22 P-Reps will become the main P-Reps on Sept 24. The next 78 will be sub-P-Reps, who are ready to take action and backup underperforming main P-Reps as needed. ICONists are rewarded for voting and P-Reps are rewarded based on the number of votes they receive. It is very important to have P-Reps who can run a node, make good decisions of the behalf of the community, and also contribute to the ICON ecosystem in a positive way. As such, ICONists should remain active and vigilant, making sure the P-Reps they vote for continue to serve the community. Pocket/Figment P-Rep team created a portal to explore P-Rep candidates and filter based on different categories.
As part of the launch of staking, ICON released an entirely new dashboard, which includes a Governance tab. This new Governance tab shows useful information centered around staking and P-Rep election. It is a very useful tool that enables ICONists to see the ranking of P-Reps, current staking %, and block productivity. Block productivity is especially important. After the pre-voting ends on September 24th, the top 22 P-Reps will take control of the ICON network. Once this happens, if any P-Rep productivity drops below 85%, then all ICONists delegating to that P-Rep will experience a penalty resulting in a 6% ICX burn.
Figure 2 shows an image of the ICON Governance dashboard. As of this writing, there are 33 P-Rep candidates who have registered on-chain (out of 75 registered on ICON’s online candidate list). We expect both of these numbers to grow, as more P-Reps join and continue to register on-chain. We also expect votes to become more spread out as more ICONists join the voting.
The implementation of staking is a huge milestone and we should thank the ICON team for their on-time and outstanding execution of this important milestone! Nearly every aspect of staking is working flawlessly. Having worked in many software projects, I know first hand that new product releases of significant complexity are difficult to successfully complete on time. There is one minor bug, however, that should be noted. For those who want to stake with a Ledger Nano S, they must:
- Use an existing wallet on ICONex (or create a new one). You will not use this wallet, but there is a bug requiring a wallet.
- Connect to the wallet.
- Click voting tab.
- Click connect to ledger
- You can vote with ledger
I encourage everyone to stake their ICX to support their favorite P-Reps and the ICON ecosystem. You can stake with the ICONex chrome extension using a keystore or Ledger Nano S (using the instructions above). Mobile ICONex staking will be released on Sept 24.
I am a member of the Ubik Capital P-Rep. We thank the ICON community for their support of our team and efforts! For information about staking, or to see Ubik Capital’s proposal, please visit https://www.icxstaking.com.
P-Rep candidate ICONation also published a helpful video showing how to stake today.
We look forward to serving the ICON community! Feel free to get in touch with other via the following methods: