How to Stake WAX(WAXP)
WAX’s staking rewards can be obtained by staking tokens and voting for at least 16 guilds or proxies. The purpose of these systems is to encourage token holders to actively participate in the ecosystem.
A fixed amount of WAX tokens are stored in a separate rewards pool each day for WAX staking rewards. The number of tokens each token holder receives each day varies according to the weight of their current stake compared to other stakers.
For example, if User A’s stake weight reaches 1% of the total stake weight on a given date, he will receive 1% of the WAX staking rewards reward pool.
The formula for calculating the stake weight is:
Stake Weight = Staked WAX * Vote Strength
This is the amount of tokens currently staked multiplied by the number of votes. Voting participation is a value between 0 and 1, 0 before the first vote, and 1 if the first vote was made. Voting participation will gradually decrease if you do not run a weekly vote.
When you claim staking rewards, they are automatically staked at a 50:50 ratio for CPU/NET and counted in Genesis WAX protocol tokens.
Genesis Block Member (GBM) Rewards
GBM rewards can be obtained with Genesis WAX protocol tokens, and can be obtained in two ways.
The first way to get Genesis WAX tokens was the token swap period. If you hold your own tokens during the token swap and perform the token swap yourself (if you haven’t unstaking these tokens yet), you will have an amount of Genesis WAX tokens equal to the amount of tokens you swapped during the token swap. But doing the swap is no longer possible.
The second way to earn Genesis WAX tokens is through staking rewards. As mentioned above, staking rewards are automatically staked at a 50:50 ratio against CPU/NET after claiming and are calculated in Genesis WAX tokens. This is currently the only way to get new Genesis WAX tokens.
Genesis WAX tokens are identical to regular WAX tokens, the only difference is that regular WAX tokens do not earn GBM rewards. When Genesis WAX tokens are unstaking, they become permanent regular WAX tokens, meaning they cannot be converted back to Genesis WAX tokens.
Staking and Vote for WAX Tokens
- Access wax.bloks.io and log in with your WAX account.
2. Go to the Stake CPU/NET tab of the Wallet menu.
3. Enter your own address, enter the amount of WAXP to be staked on the desired resource (CPU or NET), and click the Stake button.
4. In the Validators tab of the Vote menu, check the checkbox to the left of the block producer you want to vote for. Select a total of 16 or more producers (up to 30) and click the Vote button.
Claim WAX Staking Rewards
- Go to the Claim GBM Rewards tab in the Wallet menu.
2. After checking the available rewards, click the Claim Both button.
As mentioned earlier, when you claim a staking reward, the reward is automatically staked, but in the case of GBM rewards, it is paid in floating tokens.
Also, please note that after staking tokens, in order to transfer or use them elsewhere, unstaking must be executed, and 3 days after unstaking has passed, the tokens are actually usable.
More information on staking in WAX can be found here.