Native Staking Phase 1 On Hedera Network. First phase allows ecosystem to build tooling, and for users to test functionality without earning rewards.

Hedera a proof-of-stake network, meaning it does not require mining to solve computational problems & deliver proof of work for reward. Instead, Hedera’s design uses the value of a scarce, “pre-minted” resource ($HBAR), staked to network nodes. To achieve consensus and protect the network against certain forms of cyberattack, including Sybil attacks. Enabling native staking, therefore, is essential for the Hedera network to continue along its path to decentralization and to incentivize staking behavior to protect the network from attack.

Hedera network nodes

Currently, Hedera network nodes are operated by members of the Hedera Governing Council, and each node has an equal stake. As the network is further decentralized and non-council member nodes are allowed to participate. It becomes critical to permit users to choose to which node(s) they want to stake their hbars. For permissionless networks, anyone can operate a node and participate in network consensus. As such, public, permissionless proof-of-stake networks need a scarce resource to secure the network against such attacks. Rather than each node having a vote weight proportional to hashing power, like in proof-of-work, a node’s ability to influence consensus is proportional to the number of coins staked to a node. Hedera achieves consensus on a transaction when the voting involves more than two-thirds of the network’s voting power. An entity, then, would need to attain one-third of the total voting power to disrupt the network.

The Hedera mainnet codebase has now been updated to enable the first phase of native staking and allows users to select nodes to which to stake their account. In phase II, the amount of hbars staked per node will affect its consensus weight (voting power), updated monthly. In phase IV, node stake will be updated on a 24-hour basis, as stated in HIP-406.

Staking on Hedera in four phases:

Phase I: Technical Availability

The staking functionality is now available and live on both the Hedera testnet and mainnet, as of July 21, 2022. In phase I, users will technically be able to stake their account to mainnet nodes but this will not contribute to a node’s consensus weight (voting power). This initial technical availability release does not reward participants for staking, but enables a level playing field whereby all market participants have the possibility to join the staking program, and avoids giving an unfair advantage to the first few who stake.

Phase II: Ecosystem Development

During this phase, supported exchanges and wallets will be able to integrate the staking functionality to provide account holders an easy way to stake their hbars. In addition, web applications for delegating stake will likely be built for utilization by the retail ecosystem. During this phase, there will be visibility of stake per node, and staking to a node will affect its consensus weight with monthly updates.

Phase III: Staking Rewards Program Launch

The Hedera Governing Council will determine when the Hedera ecosystem reach minimum viable set of integrations to enable staking rewards. Once determine, the council (through CoinCom) will vote to update the reward rate, and subsequently, the mainnet will be update with the agreed-upon reward rate.

Once update, the staking reward account (0.0.800) will be eligible to distribute rewards earned by stakers, once the rewards threshold of 250M total hbars. Rewards will continue to be distribute even if, after this time, the balance of account 0.0.800 goes below 250M.

Earned rewards are transferred to eligible accounts stake to a node through one of many transactions.

The Council (through CoinCom) has voted to implement a maximum cap of 6.5% annual reward rate. The actual reward rate will vary depending on how many hbars are stake for rewards, but the rate will not exceed the cap.

Phase IV: Complete Staking Implementation

In this phase, 24-hour updates for visibility into stake per node and the node uptime feature will be release. This means that instead of updating node stake visibility on a monthly basis, node stake visibility will be update on a 24-hour epoch interval. When the uptime feature takes effect, staked accounts will not earn rewards when nodes are unable to participate in consensus (unavailable or offline).

Non-Rewarded Staking Accounts

Accounts that will contribute to staking but have pledged to not receive rewards into the foreseeable future (even when rewards are enabled) include those owned by Hedera (Treasury), Swirlds, and Swirlds Labs. In aggregate, these accounts control more than half of the total minted supply of hbars. Ensuring that enough hbars are stake for network security.

Staking Rewards Insight

The staking architecture is based on the original design defined in the Hedera Hashgraph whitepaper. In the future, the reward mechanism will be enable. Those who choose to stake their hbars can earn rewards. If they choose, for their contribution to the operation and security of the Hedera network.

No minimum amount of hbars will be need for hbar holders to participate in staking and earn rewards. There is no “bonding”, slashing, or lock-up periods, but there is a minimum staking period of 24 hours. Accounts staked during a fraction of one of those periods have no effect on consensus, & so will earn no rewards.

This staking system offers additional unique functionality: indirect staking. If account A stakes to node N, then the stake increases the consensus weight of N, and account A rewarded for every 24-hour period that it stakes. If account A stakes to account B, & account B stakes to node N, then the stake from both A & B will increase the consensus weight of N, but the rewards for both A & B will be received by B.

The Hedera Governing Council Treasury Management and Coin Economics Committee (CoinCom) has defined and approved the following:

• Max stake (the maximum amount of hbars a single node can have staked to it for contributing to consensus)

• Min stake (the minimum amount of hbars a single node must have staked to it for participating in consensus)

• The current min and max stake values for Mainnet nodes will adjust to changes in the network; the current values reflect the network of Governing Council member nodes. The Governing Council may modify these values in the future to accommodate for community nodes and permissionless nodes.

• Staking rewards account (0.0.800) threshold value (needs to be met before it begins distributing rewards to stakers)

• Network & service fees will continue to route to account 0.0.98 (Hedera Treasury) & node fees will continue to route to individual node operators. More information about the types of fees per transaction can be found here.

  In the future, the Hedera Governing Council may vote to route network and service fees. Originally intended for the Hedera treasury (0.0.98), to the staking rewards account (0.0.800) for distribution to stakers.

About Hedera

The Hedera network is the most used, sustainable, enterprise-grade public ledger for the decentralized economy.

Website | Twitter|

Source

REQUEST AN ARTICLE

The post Native Staking Phase 1 On Hedera Network appeared first on Smart Liquidity Research.

Women in Data launches its first non-fungible token collection, tokenizing its memberships on the Hedera network and directly introducing its members to the Hedera ecosystem with support from The HBAR Foundation.

Women in Data is providing members of its community easy access to NFTs and a Hedera wallet, whilst also delivering Web3 education, awareness, and a sense of belonging to a growing community of women. Soon members will also be rewarded with a Women in Data HTS token for completing educational courses.

Marganilized communities are often the last to participate in emerging technologies. Women in Data hopes to change this, driving diversity in emerging and growing fields such as data and Web3.

Through this NFT collection, Women in Data is providing the perfect entry point for women into this industry whilst leveraging a technology that is inherently designed to give power back to the individual.

By deciding to leverage the efficiencies of the Hedera network another barrier of entry, cost, is remove. Minting a collection of 10,000 NFTs Hedera will always cost $76.80 and trading fees are negligible – on other networks prohibitively high gas fees have often meant many cannot participate in the technology.

“We know that technology can offer empowerment, especially for women and girls,” said Sadie St. Lawrence, CEO of Women in Data.  “Unfortunately, historically, we have seen that when new technologies emerge, it is often marginalize groups who have access last.”

As data enthusiasts, Women in Data is excited about the possibilities that exist with data in Web3 and wants to create an entry point to this space for more women and diverse communities. To do so, instead of building a community around an NFT collection, Women in Data decided to build an NFT collection around its existing community.

Women in Data is embracing this new technology and tokenizing its membership to help members not only see themselves as women in data but also to remind them that they belong here. Members will receive an NFT, which not only represents the transactional value of their annual membership. But also visually represents their support of Women in Data’s mission. Through the member token, many will gain access to their first NFT and Hedera account.

Women in Data’s first NFT collection

Women in Data’s first NFT collection, Visionaries, was created by the community, for the community. It celebrates all of the bold and diverse women in data, and their vision for the future. The Visionaries are looking to the future with their heads high, courageously leading the way in data and technology.

Women in Data is planning to create a new NFT collection for each year of membership. Women in Data hopes this collection and future collections not only reflect and celebrate their diverse community – but also inspire more women to enter and explore Web3.

About Women in Data

Women in Data (WiD) is an international nonprofit organization founded in 2015. Concerned about the prospect of gender equality in a data-driven future. The first chapter of Women in Data was launch with a mission to increase diversity in data careers. Today, Women in Data is a global community of 30,000 data enthusiasts of all backgrounds located in more than 30 countries around the world coming together to increase awareness, create opportunities and empower women in data careers.

Website | Twitter

About HBAR Foundation

The HBAR Foundation leadership team includes experts in technology, business, legal, marketing, and ecosystem development. All focused on the success of your project.

Website | Twitter

About Hedera

The Hedera network is the most used, sustainable, enterprise-grade public ledger for the decentralized economy.

Website | Twitter

SOURCE

https://www.hbarfoundation.org/blog-post/women-in-data-launches-on-the-hedera-network-with-support-from-the-hbar-foundation-delivering-on-its-vision-for-a-diverse-web3

REQUEST AN ARTICLE

The post Women in Data Launches on the Hedera Network appeared first on Smart Liquidity Research.