Dymension is a pioneering platform that offers a network of rapidly deployable and highly efficient modular blockchains, known as RollApps. It is designed to improve the way blockchain applications are developed, deployed, and scaled, providing an infrastructure that emphasizes speed, modularity, and ease of use.
Proof-of-Stake is a newer form of consensus algorithm that relies on a stake rather than electrical power. This makes it more efficient and environmentally adapted. By offering a stake in the form of locked tokens into a smart contract. This stake is used to secure the chain and validate blocks.
By locking a protocol’s native tokens (ie DYM) to give “validators” the right to secure a chain. Validators propose new blocks or attest other validators’ blocks, gaining rewards for doing so.
Staking is one of the safest and most predictable ways to get rewarded in the crypto space as the value originates from the blockchain’s native currency inflation and a share of transaction fees. You help secure the network and get rewarded by staking your DYM.
If you do not stake, your asset's token share will be diluted among other people’s tokens that are being staked and accumulating new tokens into the network.
Follow these simple steps to delegate your DYM tokens to Kiln validator:
Reach out to us if you are an institution wanting to stake DYM with Kiln.
Kiln is the leading enterprise-grade staking platform, enabling institutional customers to stake DYM, and to whitelabel DYM staking functionality into their offering. Our platform is API-first and enables fully automated validators, rewards, data, and commission management.
We serve thousands of businesses worldwide so everyone can securely and seamlessly. Our clients can stake their tokens from our dashboard, a hardware wallet, a browser wallet, a B2B custodian, a crypto exchange, or just their favorite investment app. Kiln makes staking DYM easy, secure, and accessible to everyone.
Proof-of-Stake (PoS) is a type of consensus mechanism used to validate cryptocurrency transactions. Through PoS, validators can contribute to the block production of a chain while keeping environmental concerns to a minimum, which is becoming an increasingly large issue in Proof-of-Work.
By staking capital rather than energy, validators risk losing a portion of their value and future potential for staking by misbehaving while creating blocks. This incentives collaboration and fair practices while validating information in a similar way that PoW has with incentives and punishments to curtail malicious behaviours.
Validators and delegators receive DYM rewards after every epoch (daily). DYM rewards are not compounded and require re-delegation with each block reward you receive.
Yes, you can enable compounding on rewards on DYM by connecting your Cosmos Wallet to Restake.app, click the toggle to enable autocompounding and grant Kiln the ability to do that for you for a given period of time. Then sign the transaction.
You can start staking from 1 DYM.
While you may maintain self-custody of your staked DYM (ideally using a Ledger hardware wallet), you may also choose a third-party custodian to control the withdrawal of your staked DYM (i.e. Fireblocks).
There is a 21-day unbonding period for Dymension.
Currently, there is no information about implementing penalties and slashing on Dymension.
The average block time is 6 seconds on Dymension.
In the context of Proof-of-Stake blockchains, the gross reward rate (GRR) refers to the total or gross amount of rewards earned from staking before deducting any fees or expenses. This is a reward rate that fluctuates with the operations of the protocol and the performance of validators, it is not set by Kiln. The net reward rate (NRR), on the other hand, takes into account the deductions or expenses, providing a measure of the actual rewards received after subtracting fees or costs.