What are the staking options?
Crypto holders can stake their tokens in two ways:
Off-chain - DeFi (Decentralized Finance) & CeFi (Centralized Finance) platforms
On-chain - Directly through their own wallet
What's the difference between on/off chain staking?
The difference is significant:
When you stake your tokens off-chain, you actually send your tokens out of your wallet (DeFi app or CeFi exchange) and lose control over your tokens
When you stake on-chain, your tokens never leave your wallet and you're still entitled for rewards!
Why people stake off-chain if on-chain is safer?
Off-chain staking offers also good solutions that don't exist in on-chain, such as liquidity. Bifrost app is a good example where users can lock their DOT & still remain liquid. Some also may provide higher APR (but again, with higher risk). In addition, sometimes it's just easier to stake on chain (definitely on exchanges for example)
While staking on-chain, can I revoke anytime?
Absolutely! with on-chain staking you're the owner of your tokens. You can revoke, nominate other validators, vote, etc. Totally depends on you (and only you!)
Why should I stake with LEGEND?
There are many good and decent validators/collators on the Polkadot ecosystem. We positioned ourselves at the top rank by performance thanks to our fully dedicated and focused approach. Our nodes are fully active, we run our own infrastructure & have proprietary 24/7 monitoring system with fully redundancy
What is your fees across your validators?
Polkadot - 3%
Kusama - 15%
Moonbeam & Moonriver - 20% (hard coded by the networks)
What is the revocation period of your validators?
Revocation period defined by the networks and not by the validator. Here are the revocation period of each network we run validator on:
Polkadot - 28 days
Kusama - 7 days
Moonbeam - 7 days
Moonriver - 2 days
Are there any risks with on-chain staking?
Yes, there are:
If you choose non frequently active validator, or one with poor performance (missing too many blocks for example), you may lose rewards and probably suffer from low APR
If you choose misbehaved validator, you may also be slashed by the network
Therefore, it's important to make a good research while choosing validator to stake with
Still have questions? No worries at all - contact us directly here!