KSM staking, short for Kusama staking, is a fundamental process within the Kusama blockchain ecosystem that allows users to participate in network validation, secure the network, and earn rewards in the form of Kusama (KSM) tokens. Kusama is often referred to as a sister network to Polkadot and is designed for experimental and innovative blockchain projects.
Staking in Kusama involves locking up a certain amount of KSM tokens in a wallet to support the network’s proof-of-stake (PoS) consensus mechanism. Validators are responsible for proposing and validating new blocks on the Kusama network, and stakers can delegate their KSM to these validators. Here’s how it works:
- Acquiring KSM: To stake KSM, you first need to acquire Kusama tokens through a cryptocurrency exchange or other means.
- Choosing a Validator: Stakers select a validator they trust to participate in network consensus on their behalf. Validators often provide information about their performance, such as uptime and commission rates.
- Delegating KSM: Stakers delegate (bond) their KSM tokens to their chosen validator. The tokens remain in their possession but are used to secure the network.
- Earning Rewards: Validators and their delegators receive rewards in KSM for participating in the network. These rewards are distributed based on the amount of KSM staked and the validator’s performance.
- Unbonding and Withdrawal: Staked KSM tokens are typically subject to an unbonding period during which they cannot be withdrawn. This period varies but is commonly around 28 days. After the unbonding period ends, stakers can withdraw their KSM and any earned rewards.
KSM staking provides a way for users to actively contribute to the Kusama network’s security and governance while earning passive income through staking rewards. It’s essential to research validators and stay updated with network changes to maximize the benefits of KSM staking.
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