Staking at COTI v1.00 - Guide

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COTI

5 min readJan 21, 2020

Introduction

COTI’s staking model is built to be competitive to DeFi income models and provides a means to generate a steady income from the process of transaction approval in the COTI network.

The economic model of COTI nodes is designed to be fair, efficient and flexible and is based on finely tuned fee distribution mechanisms and staking requirements.

COTI’s staking model allows users to run Full Nodes, which are decentralized servers processing wallet requests, receiving transactions, and performing the required Proof of Trust work (PoT).

When running nodes, operators provide the network with useful resources, including CPU, memory, storage and network bandwidth. These resources are not free of charge, which is why the node operator is compensated and has the opportunity to earn a reasonable ROI.

Full Node operators receive fees collected from transactions. The more transactions a Full Node processes, the more it earns.

Staking Plans

*- all return guarantees should be treated by valid for the current month only and can be extended or ceased without prior notice.

In order to better understand our staking reward model, make sure to read the Annually Staking Rewards document, which demonstrating all possible staking scenarios.

How does it work?

How to stake?

Placing the staking deposit with COTI

a. Connect to your MainNet wallet at https://crypto-wallet.coti.io/connect with your credentials.

b. Under the staking section, Click on the “Stake” button.

Important: if you don’t have the “stake” option in your wallet, this means that you weren’t approved as a staker for COTI. If you would like to join the COTI network as a staker for a community node, please approach the community operator as they are the one who choose and approve community stakers. Potential candidates can register in the community node dedicated Google form, published by the community operator.

c. A popup with your staking amount and a unique staking address will appear. Press “confirm” to approve the staking and the amount will be automatically transferred to this address.

2. Confirmation of staking

Your staking deposit is placed with COTI and is associated to you according to the unique staking address generated specifically for you. Once completed, you’ll be able to see, in your MainNet wallet, the staked coins under as “staking section”.

3. Receiving Rewards

Rewards are processed once a month.

COTI guarantees a minimum level of income for advanced and community MainNet stakers per annum, on a monthly basis. If the income received from the processed transactions does not meet the ensured return, COTI covers the deficit.

In order to receive your rewards, you must claim your coins by clicking the “claim” button. This option will be available to you in the last week of each month.

The specific period you can claim your rewards in will appear in the staking section in your wallet.

Please note that if you don’t claim your rewards within the claim window (the last week of the month) your rewards will be reset and you won’t be able to claim them for that month. If you are a part of a community node, the remaining rewards will be split between those who have claimed their rewards.

Conditions to receiving your stake rewards:

Your node’s uptime should be at least 95%. In the case your node doesn’t meet the minimum uptime, you will only be eligible for fees collected during your uptime but not for the guaranteed node return.
A registered MainNet wallet.
You have completed the KYC process
You must stake your coins for the entire payment cycle to be eligible for rewards.
You must not be from a restricted country.
If you are a TestNet node operator, you are required to comply with the TestNet operators’ rules which will be published soon.

4. Unstaking

You may unstake your coins at any given moment. Note that the coins will be actually unstaked by the end of each payment cycle, as appears in your wallet.

Note that as a MainNet node operator, of any kind, unstaking makes you ineligible to run a node.

In order to unstake you should:

Login to COTI MainNet wallet
Click “Unstake”

3. You will see a message stating that you will be unstaked in the next payment cycle

For the annually staking rewards document, visit here
For more details on the stakes and guaranties please refer to Nodes and staking article

See below the Staking flow at COTI v1.00