Wormhole is a cross-chain protocol that enables the transfer of data or tokens across the most popular blockchains, such as Ethereum, Solan, and many others. It can be used for cross-chain applications, like exchanges that accept deposits from multiple blockchains, governance across different networks, and games that operate on one blockchain but distribute rewards on another.
Today, we will go through the detailed guide of W staking for governance and talk about Wormhole DAO, its benefits, and its functionality.
What are MultiGov and Wormhole DAO?
Wormhole DAO empowers its community by enabling token holders to have a say in the future direction of its multi-chain ecosystem. Thanks to a collaboration with Tally and Scopelift, the new MultiGov feature makes voting and delegating across different blockchain networks possible.
This feature strengthens decentralized governance by giving communities a simpler way to voice their decisions across interconnected ecosystems.
What is a W token and why should you delegate it?
The W token is the native multi-chain token of Wormhole's ecosystem. It was initially launched as a native Solana SPL token. Post-launch, ERC20 functionality will be enabled through Wormhole's Native Token Transfers (NTT), allowing seamless transfers across any Wormhole-connected network.
By delegating W tokens, you contribute to the decision-making process, allowing trusted delegates like Everstake to vote on critical proposals on your behalf. Delegation enhances the protocol's security, decentralization, and overall governance efficiency.
Delegating enables token holders to make key decisions, including:
- Connection Management: Decide which blockchains to add or remove from the Wormhole.
- Contract Updates: Approval of Wormhole-powered smart contract updates.
- Fee Adjustments: Change the fees associated with different Wormhole services.
- Augmentation of guardians: Increase the number of trusted entities (guardians) that help protect the network.
- Set speed limits: Change limits to improve network security and protection.
- Shaping Token Utility: Influence how the W token is used and its overall design.
Anyone can register to receive votes from other Wormhole token holders and become a delegate in Wormhole DAO. If you want to be more directly involved in the governance of Wormhole, then now is a good time to step up.
How to delegate W tokens?
Follow this guide to stake for governance and delegate your voting power to Everstake.
Step 1: Access the Wormhole DAO on Tally
- Visit the Wormhole DAO page on the Tally platform.
- Once there, click the Stake for governance button to start the process.
Step 2: Connect your wallet
- Choose a wallet to connect, for example, MetaMask.
- Click Sign in and approve the transaction in your wallet to proceed.
Step 3: Begin delegation process
- Click the Start button to begin delegating.
- In the search bar, enter Everstake or use the following address:
- 0x7c99baC1052545AD4e4C1E552C9aa36E74125B5d
- Click Continue.
Step 4: Transfer W tokens (if needed)
- If your tokens are already on an EVM chain, you can skip this step.
- If your W tokens are currently on the Solana network, they need to be transferred to an EVM-supported network (Ethereum, Arbitrum, Optimism, Base).
- Connect your Solana wallet and an EVM wallet to do the transfer.
Step 5: Select EVM network and approve transfer
- After selecting the destination EVM Network, specify how many tokens you wish to transfer.
- Approve the transaction in your wallet.
Step 6: Confirm delegation
- Once the tokens are transferred, click Confirm delegation.
- Review all the details and agree to Tally’s Terms of Service.
- Сlick Stake for governance.
Please note: You can stake for governance using free gas once on each of the four available chains. If you wish to stake again on the same chain, you will need to pay for the gas.
Done; you have successfully delegated your W tokens to Everstake. Now, you are part of the Wormhole DAO governance process!
FAQ
What is staking for governance?
Staking for governance enables the W token holders to take part in the Wormhole’s governance by providing their voting rights to other people.
What is a delegate?
A delegate is a person or a company that represents W token holders and has the right to vote in Wormhole’s decision-making process.
Are there rewards for W delegating?
Currently, there is no compensation program for W delegation because Wormhole DAO governance is relatively new. However, participants of the DAO can suggest compensation for the delegates in the future.
How long is the duration of a delegate’s term?
The term of a delegate is indefinite, lasting until they decide to remove their platform from Tally and stop accepting new delegated power or when token holders undelegated from the delegate.
Which wallets are supported for staking?
When initially connecting to Tally, the following wallets are available: MetaMask, WalletConnect and Coinbase Wallet. When connecting to the token transfer widget, you can connect to Solana using Torus, Backpack, Bitget Wallet, Clover, Coin98, Solong and Nightly.
What is W supply?
The maximum supply of W tokens is 10 billion, with an initial circulating supply of 1.8 billion. Note that 82% of the tokens are initially locked and will unlock gradually over four years, according to the token release schedule below.
Can I unstake my tokens?
Yes, you can unstake your tokens by choosing yourself as the delegate. This will restore all the voting power to your address.
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