May the Rewards Be With You
Note: IOTA Staking continues with a new version of Firefly. Refer to this blog post for all updated staking instructions. A comprehensive overview of the road ahead for IOTA, Shimmer and Assembly is outlined here.
We are excited to announce the official start of IOTA staking. With the release of Firefly 1.3.0, the staking functionality is fully integrated and IOTA holders can start staking their IOTAs in return for SMR, the native token of the Shimmer network, and ASMB, the native token of the Assembly network. Both tokens will be distributed according to their previously announced distribution rates and schedules, available on the Shimmer and Assembly websites. IOTA token stakers can choose to be rewarded in either SMR tokens, ASMB tokens, or both at the same time with no lock-ups, additional costs, or penalties.
To provide a generous timeframe, in which all staking participants can acquire or move their tokens to the IOTA Firefly wallet, staking will start with a seven-day pre-staking period today, Tuesday, 21st of December, at 3:00 pm CET.
During the seven-day pre-staking period, stakers can move their funds from exchanges to Firefly and mark them for staking in their wallet. Stakers will receive their staking rewards starting from the 28th of December at 3:00 pm CET for the following 90 days. Rewarded SMR and ASMB tokens will become transferable with the launch of each respective network in 2022.
Not only does IOTA staking add another layer of utility to the IOTA token but also marks the first important milestone for both the Shimmer and Assembly networks. Both tokens form the backbones of their respective networks and are designed to reward the community and empower fully self-governed ecosystems.
Stake IOTA and receive SMR tokens
SMR is the native token of the Shimmer network and will be its economic foundation, adding to its security and facilitating transactions and interactions within the emerging ecosystem on the staging network. The token will enable upcoming DeFi, NFT, DAO and other dApps.
Every staked MIOTA will generate 1 SMR for its staker every 10 seconds for up to 90 days and each staked wallet must reach a minimum amount of 10,000,000 SMR for the airdrop to be received.
The maximum staking duration is 90 days. Staking takes the form of liquid staking, where users can easily unstake or transfer their tokens at any given time – there is no lockup of any kind.
To calculate your potential staking rewards, you can use the rewards calculator on the Shimmer website here.
Stake IOTA and receive ASMB tokens
ASMB is the native token of the Assembly network. It will ensure the security of the network and underpin Assembly’s governance mechanisms once the network is launched.
The entire token supply of 100 billion tokens will be distributed over the course of five years with various vesting and lock-up schedules. 20% of the supply will be distributed to IOTA stakers over a two-year period, making IOTA holders the largest stakeholders in the Assembly ecosystem. For each MIOTA staked, IOTA stakers will receive 0.000004 ASMB every 10 seconds (or four microASMB) for up to 90 days. Each staked wallet must reach a minimum amount of 1.0 ASMB (1,000,000 microASMB) for the airdrop to be received.
The first staking period will commence with a 90-day staking period in which up to 8% of the entire token supply will be distributed to IOTA token stakers, depending on the staking participation rate. The remainder will be distributed to IOTA token stakers after the Tokenization and Smart Contract upgrades on the IOTA mainnet, ending after a total staking period of 24 months.
In addition, once the Assembly mainnet has launched, users will be able to stake their ASMB tokens in order to secure the network and be rewarded pro-rata through an anticipated 8% yearly ASMB inflation.
To calculate your potential staking rewards for the upcoming staking event, you can use the rewards calculator on the Assembly website here.
Firefly wallet staking instructions
Staking IOTA will only be possible in IOTA’s Firefly wallet and is not supported by any third party. To begin staking (after Tuesday, the 21st of December at 3PM CET), make sure that you have downloaded the latest version of the Firefly wallet on the firefly.iota.org website, then complete the following steps:
First, log in to your profile by entering your PIN and continue to navigate to the brand new staking tab.
Here you will either be able to “pre-stake” or “stake your tokens” (depending on which staking phase you are accessing your wallet). The pre-staking phase is a seven-day period before staking rewards begin on the 28th of December at 3PM CET, giving users ample time to decide on which staking event they want to take part in before staking starts. It also guarantees that users who want to stake IOTA tokens do not miss the start. Once the seven days are over, you will begin to receive staking rewards in your wallet.
Each wallet of a user profile must be staked separately. When you mark IOTA tokens for staking, a transaction is sent to you with attached metadata to indicate that you wish to stake with the marked funds. Any funds staked in a given wallet will be sent to an address on the same wallet, requiring tokens in every wallet to be individually marked for staking.
To stake a wallet, simply hit the stake button and select which airdrops you wish to participate in. Please note that the wallet does not have to be open to receive the airdrops once you initiated staking.
Once you hit confirm, Firefly will issue the special staking transaction. Once this transaction has been confirmed, the user interface will update to show that you are now ready for staking!
The “pre-stake” phase lasts for seven days. Once it has finished, you will start receiving your SMR and/or ASMB rewards in your wallet. You can see the total rewards from your dashboard.
You can begin staking at any point after the official start of the reward distribution. Your rewards will simply be less, as you won’t be participating during the full token distribution period.
Further important information
You can send your staked tokens from a staked wallet at any time. But if you do, you will need to manually restake any remaining tokens. Firefly will warn you if you try to send staked tokens. Due to dust protection, there is a minimum number of token rewards you must earn in order to receive the tokens when the networks launch. The minimum reward for Shimmer is 10,000,000 SMR. The minimum reward for Assembly is 1 ASMB. Firefly will inform you if you haven’t yet reached the minimum reward value.
If you receive additional funds on a staked wallet you will need to manually stake those tokens. Firefly will warn you if you receive tokens on a wallet that is already being staked from.
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