Everstake - Learning Center

Tezos Staking

What is Tezos?

Tezos is a blockchain platform able to change and adapt to the community consensus, with minimal disruption to the network. Tezos was founded by the family of Arthur and Kathleen Breitman, who have published their initial papers in 2014. Tezos uses the DPoS consensus algorithm. Token holders can also run votings on software updates and network rules.

Tezos is also one of the first platforms to offer and successfully implement the on-chain governance. Earlier in 2019, the first voting on major changes in a blockchain protocol has commenced on Tezos, where users voted for decreasing the minimum baking threshold and increasing the amount of gas for contract transactions. The network has implemented the voting outcome automatically.

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What is Tezos staking?

Staking is the process of partaking in the consensus and block production process for the network users. In it, the users are delegating a certain amount of XTZ to the bakers of their choice, in return for part of the yields from the transaction verification rewards. Physically, all your XTZ remain on your wallet, but you can’t send or sell them until un-staked.

Un-staking is also very easy, but is not instant. All un-staked funds return to the full control of a delegator after a few cycles.

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Who are Tezos bakers?

Bakers are the nodes, who are selected for the verification process, based on their staking balance, which comprises all the delegations to them. Bakers verify and confirm new transactions in the network, in return for the rewards.

Bakers are a pinpoint in the networks stability and security, and to be useful for the network and receive rewards, bakers are required to hold well-maintained nodes on powerful servers, with up-to-date software and stable Internet connection. Any misalignments will cause missed blocks and rewards for the delegators.

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How profitable is Tezos baking?

The average staking yield of XTZ is at 6%. The actual yield depends on the stability of your baker and correctness of its rewards. All bakers take a fee, which is usually required for running a node successfully. Everstake holds a 10,9% fee, and the XTZ annual staking yield displayed already accounts it. To calculate your rewards more precisely, use the Everstake Tezos staking calculator

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How to find a good Tezos baker?

Before delegating, do your research to find the best baker. From the technical point of view, the delegate should have a powerful and stable node with 100% uptime and as few missed blocks as possible. The baker should provide their contact information and transparent info on the team members, so that any user has someone to speak to in case they encounter any problems.

Finally, mindful bakers always take part in the Tezos community, speak with the people, improve their experience and develop and introduce new products and utilities for Tezos to streamline the use of the network. Bakers who build products for the network are interested in its development and support, and pay much more role in the progress than those who only confirm transactions for rewards.

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Why stake Tezos with Everstake?

Everstake is built by professionals who have been enthusiasts in blockchain and cryptocurrencies for several years so far. We have great hands-on experience in building blockchain products of all kinds, ranging from small developer tools and comfortable mobile wallets to exchanges and sophisticated enterprise-level blockchain tools for businesses.

We have experienced software and hardware specialists who built us staking machines for all best DPoS blockchains in existence. We offer continuity and care about the loyalty of our customers, who can stake any coin with us, with the same level of transparency, stability of rewards, and comfort.

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Step-by-step Tezos staking guide:

Delegating Tezos is very easy with Everstake. Follow this step-by-step guide to get started:

  1. Create a Tezos account and deposit the desired amount of funds there. Please note, that after the Babylon update users don’t need a mandatory KT address for staking, and instead, they can use TZ addresses.
  2. Having the funds on your TZ account, select the Delegate tab in it, enter the Everstake’s staking address tz1aRoaRhSpRYvFdyvgWLL6TGyRoGF51wDjM and press Update Delegate. That’s it, you’re now started getting rewards from staking with Everstake!
  3. For more information regarding Tezos staking please refer to our guides:

    AirGap Wallet

    Atomex Wallet

    Atomex Web Wallet

    Atomic Wallet

    Exodus Wallet

    Galleon Wallet

    Galleon Mobile Wallet

    Kukai Wallet

    Ledger Live

    Temple Wallet

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