Blocknet (BLOCK)

Staking BLOCK

Staking is the Proof-of-Stake equivalent of mining in Proof-of-Work blockchains. Stakers validate transactions on the network. These transactions are grouped in blocks.

With Blocknet, there is 1 block every minute with a 1 BLOCK reward. You can stake with any amount of BLOCK and are rewarded for supporting the network with block rewards and all the transaction fees included in that block.

Staking can be performed with any amount of BLOCK, there is no minimum. However, since staking with Blocknet is probability-based, you will receive rewards more frequently by owning and staking more BLOCK.

BLOCK can be acquired through various options available.

Stake using the redesigned wallet

1. Install and setup the Blocknet wallet.
2. Open and sync the wallet.
3. Make sure there's BLOCK in your wallet.
4. Unlock the wallet for staking only.
5. It may take a minute for the staking to activate.
6. You can verify the wallet is staking with the status icon in the upper-right corner. The 2nd icon from the left indicates the staking status. If it is grey, staking is inactive. If it is blue, staking is active. You can also hover over the icon to read the staking status.
7. When staking, you may see your wallet balance show as Immature. This is a normal part of staking. The funds in your wallet that "won" the staking reward will remain immature until they have 101 confirmations (101 minutes). When funds are immature, they are unspendable and do not count towards your probability for receiving another reward. After 101 confirmations, these funds can be spent again and the balance will show up as normal.

Note: Staking will not activate if the wallet is not synced.

Note: Newly deposited BLOCK can't stake for 60 minutes.

Stake using the classic wallet

1. Install and setup the Blocknet wallet.
2. Open and sync the wallet.
3. Make sure there's BLOCK in your wallet.
4. Unlock the wallet for staking only.
5. It may take a minute for the staking to activate.
6. When staking, you may see your wallet balance show as Immature. This is a normal part of staking. The funds in your wallet that "won" the staking reward will remain immature until they have 101 confirmations (101 minutes). When funds are immature, they are unspendable and do not count towards your probability for receiving another reward. After 101 confirmations, these funds can be spent again and the balance will show up as normal.

Note: Staking will not activate if the wallet is not synced. Since staking is the act of confirming the latest transactions, staking cannot be active until the wallet is synced to the more recent transaction on the network.

Note: Newly deposited BLOCK can't stake for 60 minutes. Funds cannot stake until they have had 60 confirmation on the network. This a security precaution and will take roughly 60 minutes (1 confirmation a minute) to be eligible for staking.

Troubleshooting

If you encounter issues, please join Blocknet's Discord and ask a question in the #support channel.

Warning: Beware of scams

Be cautious of users sending you private messages on Discord to help with troubleshooting, even if they claim to be team members. Scammers will often prey on those having issues and offer help in an attempt to steal funds. This is usually done by impersonating team members.

Staking Rewards

Probability

The selection of the staker that confirms each block is probability-based. This means that everyone’s chance of being selected to confirm the next block is equal to the amount of BLOCK staking divided by the total amount of BLOCK being staked on the network. The amount of staked BLOCK on the network can be seen here. The value will have to be calculated by totaling each amount.

Example: Calculating staking reward probability.

Assume:

The probability you will earn the next reward is:

5000 / 3325000 = 0.0015 * 100 = 0.15%

This means that, on average, you will earn a reward every:

1 / 0.0015 = 665 minutes = 11.08 hours

And the average amount of BLOCK rewarded per day is:

1440 minutes a day / 665 minutes per reward * 1 BLOCK per reward = 2.16 BLOCK

With BLOCK valued at $50, that would equate to $108 per day and $39,420 per year.

ROI

Building off the probabilistic ratio above, the following equation can be derived to estimate the yearly return (in BLOCK) on the initial amount started with. This does not account for compounding, which would increase this value. The amount of staked BLOCK on the network can be seen here. The value will have to be calculated by totaling each amount.

Staking ROI = ( [525600] / [total BLOCK staked on the network] ) * 100

Example: Calculating staking reward ROI.

Assume:

The yearly ROI under these conditions will be:

525600 / 3325000 = 0.158 * 100 = 15.8%

This means that in a year, if you staked 1000 BLOCK the rewards would be:

1000 * 0.158 = 158 BLOCK

With BLOCK valued at $50, that would equate to $7,900 per year.