NEO Staking: Calculator, Yield, Rewards & APY | Everstake

Neo developers have improved the protocol to version N3, expanding the platform functionality, improving the economic model, and adding highly modular architecture for creating DApp applications.

The nature of the new improvements makes them incompatible with the previous version of the Neo Legacy protocol, so for transactions to work correctly, users need to transfer NEO and GAS tokens from the legacy protocol to Neo N3.

Learn more about the Neo N3 and its features.

No. NEO N3 tokens cannot migrate to NEO Legacy.

GAS is a token used for paying network fees, smart contract deployments, and in-dApp purchases.

Unlike indivisible NEO tokens, GAS is divisible into the minimum units of 0.00000001 GAS. GAS tokens can be received by simply holding NEO tokens and voting for Neo Council members.

With a fixed supply of 100M and no divisibility, NEO is one of the most scarce crypto assets. GAS supply fluctuates as GAS tokens are created and burned. 5 GAS tokens are generated every block and distributed to NEO holders, successful voters, and members of the Neo Council. System fees are burned, while network fees are redistributed to consensus nodes, creating an economic incentive for their services.

NEO token holders decide who makes decisions for the Neo network and do so by participating in governance.

Each NEO token represents one vote in the election of the Neo Council and consensus nodes that maintain the liveliness of the Neo network and adjust critical blockchain parameters.

NEO holders should vote for candidates they feel will represent their needs and are capable of maintaining the health of the Neo network.

NEO holders also receive a passive distribution of the network utility token, GAS - No staking required. GAS rewards increase for voting participation (i.e. the more NEO you hold when voting, the bigger GAS reward you will receive).

General guide to Governance

By participating, you receive GAS tokens and contribute to Neo's decentralization and growth.

For example:

• If you hold 1000 Neo and don’t vote, you will receive only ~0.04 GAS per day.
• However, If you hold 1000 Neo and vote for Everstake, you will receive roughly ~1.64 Gas per day.

The voting process doesn't require spending your NEO tokens. Only a small GAS fee is required to perform the transaction. Your NEO tokens will stay in your wallet.

APR stands for Annual Percentage Rate. This is the percent that you will receive when staking with a validator. APR should not be treated as constant as it is influenced by a number of factors: the number of nodes, service fee, top-up amount of the pool and of the network, uptime rank. Remember that the more users start staking, the less APR in the network. You may find an actual APR in the explorers mentioned above.

APY stands for Annual Percentage Yield and is the projected rate of annual return after taking compounding interest into account. In order to understand how APY is calculated, it is important to understand compound interest. In essence, compound interest is interest earned on previously earned interest.

“Validator fee” refers to the rewards received by Validator for participating in the Blockchain network Validation process. Everstake determines the validator fee through a process involving analysis and consideration of various factors, such as network requirements, operational costs, and market dynamics.

Validators don't have control over users' funds in blockchain networks. Instead, they validate transactions and participate in the consensus process based on the rules defined by the network protocol. Users retain control over their funds through private keys, which are used to sign transactions and authorize transfers. Validators' roles involve confirming the validity of transactions and blocks, but they don't have the authority to access or manipulate users' funds.