The Genesis Smart Contract is coming, here’s what you need to know

Lucian Todea
May 5 · 5 min read
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Summary:

  • The launch of the Elrond Mainnet and the initial genesis token swap will be done based on the new Genesis Smart Contract

After a few months of significant technical progress and competitive pre-staking rewards for our community, we are very excited to announce the next step in preparation for the Elrond Mainnet launch. The execution of our Bootstrapping process, covered in more detail in this blog post, is proceeding as planned.

4.15 Billion $ERD, equivalent of about $6.5 Million (at today’s price), have been staked in the Pre-staking Smart Contract and have been accruing rewards. As we near the 400 Million $ERD reward pool distribution, the total staked + rewards amount is more than 4.5 Billion $ERD, in line with our very ambitious 5 Billion $ERD goal. We are very grateful to our amazing community, validators and partners for their support and trust in us.

We have set that goal to increase the economical deterrents against network attacks. With a significant portion of the circulating supply locked for staking, there are prohibitively larger attack costs for malicious actors. In order to leverage these benefits, we will link the pre-Mainnet staking to the Mainnet launch via the Genesis Smart Contract.

As phase 1 of the Mainnet launch is entering the last stage, here’s a summary of the important things you need to know.

Actions and timeline

Step 1: The rewards for the Pre-staking Smart Contract will be turned off on Monday 11 May at 13:00 UTC, however up until that point rewards will still be accrued. Claiming the stake and rewards can be done at any point, both before and after Monday.

! Be mindful of the 7 days un-bonding period — you will need to wait 7 days from the time you un-stake until the time you can claim your initial stake plus rewards.

Step 2: Next week, on Tuesday 12th of May 2020, we are launching the Genesis Smart Contract. Mainnet staking and delegation will be available from that point forward.

All data required for the Elrond Genesis (the first ever block) will be processed through this Genesis smart contract in a transparent way.

Mainnet structure and implications

We are happy that the Elrond Mainnet will launch with validators, but also with community and Staking as a Service providers. This new SC will allow potential validators and node operators to register their nodes (public keys and reward addresses as well) and lock their stake before the launch of the Mainnet. Finally, for those who do not want to run their own node, delegation will also be enabled through this Genesis Smart Contract.

The Genesis SC will continue to have a reward component attached, but the mechanics are simpler compared to the previous Pre-staking SC. As the Genesis Smart Contract implies, all ERD staked will be eligible to be part of the genesis block, swapping ERC20 ERD to native ERD, and receiving first rewards for the native ERD token.

Rewards for the Genesis SC will be calculated as follows:

  • Will begin once a transaction of staking or delegation is successfully registered in the Genesis SC, and will last until the first day when the launch of the Mainnet takes place

To recap, the Mainnet will be launched based on data registered in the Genesis Smart Contract. This means that all nodes, public keys, delegation and ERD staked, will be registered and visible to anyone in a transparent way. Once all this is done, the Genesis block will launch.

Action plan:

Step 1: Un-stake your ERD from the Pre-staking contract until Monday 11th of May

Step 2: Wait 7 days for the un-bonding period to pass and claim your ERD

Step 3: Commit your stake to the Genesis Smart Contract by registering your nodes and stake, or delegating your ERD (more details to be published soon in a separate post)

Step 4: Be awesome and make history by redeeming your stake & earning rewards directly on the Elrond Mainnet

A detailed second article will be published by the end of this week, presenting the precise process for both validators and for delegators. Tutorials and explanatory videos, with other FAQs will also follow soon.

As the Mainnet launch is getting closer with each passing day, we will host another AMA on Friday 8th May, to discuss all of these steps in detail.

This marks another important step forward for Elrond, so thank you for your amazing support!

FAQ:

  1. What does this mean for those who pre-staked?

After we disable the rewards in the pre-staking Smart contract on 11th May, the pre-staking Smart Contract will not allocate any new rewards. Initiating withdrawals and claiming earned rewards will be possible at any point in time.

2. How do I withdraw my ERD and rewards from the Pre-staking Smart Contract?

There are two steps involved to withdraw and claim your pre-staked ERD and rewards:

  • First step: involves expressing the intention to withdraw. Once this intention is executed through a first transaction sent to the Smart Contract, there will be no additional rewards calculated from this point in time.

Disclaimer: Nothing in this article or elrond.com website is an offer to sell, or the solicitation of an offer to buy, any tokens. Elrond is publishing this post solely to receive feedback and comments from the public. Nothing in this post should be treated or read as a guarantee or promise of how Elrond’s business or the tokens will develop or of the utility or value of the tokens. This post and elrond.com website outlines current plans, which could change at its discretion, and the success of which will depend on many factors outside Elrond’s control, including market-based factors and factors within the data and cryptocurrency industries, among others. Any statements about future events are based solely on Elrond’s analysis of the issues described in this post or elrond.com website. That analysis may prove to be incorrect.

Elrond Network

A scalable value transfer protocol for the digital economy

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