Near

Stake NEAR with Kiln, enterprise-grade staking

Ernest Oppetit, Chief Product Officer
September 27, 2022

What is NEAR?

NEAR is a community run protocol that allows developers to build functional applications on it and is secured by a robust network of hundreds of nodes internationally. The native token on the NEAR protocol is also called NEAR. Providing easy-to-use tools like SDKs, NEAR aims to progress the creation of Web3 systems. Taking the baton from the Ethereum network, NEAR continues to push the conversation around blockchain functionality and implements many of the same technologies that were brought about through Ethereum, such as smart contracts and dApps.

 Is NEAR a Proof-of-Stake blockchain?

The NEAR protocol uses an iteration of the  Proof-of-Stake (PoS) consensus named Delegated-Proof-of-Stake (dPoS) to secure its network.Delegated-Proof-of-Stake (dPoS) is also used on the NEAR blockchain and offers a simpler method of participating in the security of the network through the validation of blocks. All of this contributes to the speed and scalability of the network. One of the core priorities of the NEAR network is to make transactions more rapid and offer a foundation towards interoperability and Web3 development. PoS is essential to making this a possibility as it is far superior in terms of how many transactions can be processed at one time.

What is staking?

In a Proof-of-Stake blockchain, staking consists of locking native tokens to earn the right to secure a chain and earn a yield. It has overtaken mining as the primary way to secure blockchains. 

Staking consists in locking native tokens (ie NEAR) into “Validators” to earn the right to secure a chain by proposing new blocks or attesting other validators blocks, and earn a yield while doing so.

Why should you stake your assets?

Staking generates the safest and most predictable yields in the crypto space. It is the most natural yield feature in crypto as the value originates from the blockchain’s native currency inflation, making it forecastable. By staking your NEAR tokens, you help secure the network and earn rewards at the same time.

You can stake NEAR as well as other PoS cryptocurrencies to:
  • Put your treasury at work
  • Diversify and earn
  • Bring new opportunities to generate safe yields to your users
You stake
$100M
You get
$10M
/
every month

How to stake NEAR with Kiln?

To stake NEAR on Kiln you need to follow these simple steps:

  1. Login to the Kiln dashboard
  2. Initial Stake by selecting your Account and the amount of NEAR (plus the transaction fee)
  3. Connect your wallet: NEAR wallet, Moonlet Wallet …Kiln supports multiple wallets as well as WalletConnect
  4. Delegate Stake

NEAR works on a 5% yearly inflation rate, which means only 5% of the total amount of available coins will be released through staking annually. As with most other PoS and dPoS systems, rewards are shared in ratio to your staked NEAR. Staking NEAR is part of a compounding process, meaning your rewards are automatically restaked until you decide to unstake them.

What are the rewards associated with staking NEAR?

As an incentive for helping to safeguard the network, you can earn up to 10% APR from the total NEAR staked.

Protocol Card
APY
10%
Token
NEAR
Hosting
Bare + Cloud
Number of live validators
1000+
Epoch duration
12h

Why should you stake your NEAR with Kiln?

Kiln is the leading enterprise-grade staking platform, enabling institutional customers to stake NEAR, and to whitelabel NEAR staking functionality into their offering. Our platform is API-first and enables fully automated validators, rewards, data and commission management.

We are serving thousands of businesses worldwide so that everyone can securely and seamlessly stake their coins from our dashboard, a hardware wallet, a browser wallet, a B2B custodian, a crypto exchange or just their favorite investment app. Kiln makes staking NEAR easy, secure, and accessible to everyone.

  • Stake NEAR in 1 click
  • Manage all your NEAR stakes and rewards from a single dashboard 
  • Non-custodial, work with your existing custodians solutions e.g.Fireblocks
  • SOC 2 certified and Industry leading SLAs (0 penalties recorded and 99.95% effective uptime)

Looking to stake NEAR?

Get in touch with our team to discuss Prime customers advantages and unlock the full Kiln experience.

Stake NEAR FAQ

What does Proof-of Stake mean?

Proof-of-Stake (PoS) is a type of consensus mechanism used to validate cryptocurrency transactions. Both Bitcoin and Ethereum, the two largest blockchains, use another type of consensus named Proof-of-Work, that requires a certain amount of computing power in order to deter frivolous or malicious uses of computing power. However, Ethereum has transitioned to the Proof-of-Stake (PoS) algorithm as part of their development roadmap. The main reasons are because it is more secure and less energy-intensive.

When will I receive NEAR rewards?

Rewards are distributed per epoch, which is around 12 hours per epoch. NEAR validators receive 90% worth all yearly rewards, which account for 5% of the total supply annualized.

What are the risks associated with staking NEAR?

There is no slashing risk at the moment when staking NEAR but it is planned to be implemented in this protocol at a future time.

Is there a minimum and maximum amount to stake for NEAR?

To gain a seat and stake NEAR as an operator will be worth the amount of the 100th validator. For those delegating their stake to a validator there is no minimum required to join in the consensus process.

Do I maintain custody of my NEAR tokens? Is NEAR staking non-custodial?

Regardless of whether you stake NEAR yourself, or delegate your coins to a NEAR validator, it requires you to plan the custody of your a

What is the lockup period to stake NEAR ? When can I unstake and withdraw my NEAR?

When unstaking NEAR, you will have to wait until four epochs have passed. This is equivalent to around 48 hours, depending on what point in the current period you choose to unstake.

How do rewards and penalties work?

Staking NEAR offers rewards based on the percentage of your stake within a validator pool. Every year, NEAR rewards account for 5% of the total supply of NEAR available. Stakers are allocated 90% of this reward, while 10% goes into the NEAR treasury.Unlike other PoS based systems, NEAR does not include slashing (although this may change in future) therefore there are no outstanding penalties on the NEAR protocol at this time.

What is the average block time on NEAR?

The average block time on NEAR is ~1 sec.

What are the specificities of NEAR validators?

To participate in building consensus there is a fee of 35 NEAR that validators need to pay for gas and storage fees. Delegating your NEAR to validators also requires users to pay a fee for the rewards made on processed blocks. Users also need to keep in mind that unstaking takes 4 epochs to be received back in their wallet which equates to around 48 hours.

Where can I learn more about NEAR?

There are many existing resources but we invite you to visit the NEAR foundation's website and to check our latest articles on our blog.