WHAT IS
BITKUB CHAIN
PROOF-OF-STAKE ?
Bitkub Chain Proof-of-Stakeis a consensus mechanism on Bitkub Chain opened for the public to participate as a part of Bitkub Chain via ‘Staking’ their KUB Coins to be entitled to be the Validator or as the Delegator by staking KUB Coin to increase the chance of the Validator for validating transaction on Bitkub Chain. Such a method helps benefits such as energy efficiency, scalability, faster transactions, and security measures for network integrity. Such a system will benefit Bitkub Chain with more efficiency, scalability, faster transactions, and security measure for network integrity.
BENEFITS & DIFFERENCES
VALIDATOR
Validator Benefits
- Validation of transactions via the block and the consensus
- Earn higher rewards based on the staking amount
- Have ownership of nodes and control over the operation of the Node
- Directly contribute to network security and stability
Validator Remarks
- Required technical knowledge and infrastructure setup
- Responsible for maintaining the availability of Nodes
DELEGATOR
Delegator Benefits
- Participate indirectly by joining with Validators
- Receive rewards from validation of transaction proportionally, of which such reward shall be shared between the Validator and the Delegator
- No need to setting up or maintaining infrastructure or having technical expertise
Delegator Remarks
- Rely on Validators' performance
- May encounter the situation that some Validator may not obtain much chance to validate blocks and obtain reward.
- Flexibility to stake with different validators
TYPE OF
VALIDATOR
A Validator is a blockchain network user who operates the node and performs the function of validating transactions sent to the Blockchain network and signing them before producing a new block as a technical feature to enable reliable transactions without a centralized management mechanism through the support of blockchain technology. Bitkub Chain Node has 3 node types as following:
Requirements | Official Node | Pool Node | Solo Node |
|---|---|---|---|
| Initial KUB Required for the Validator | 1 KUB | 100,000 KUB | 10 KUB |
| Minimum KUB Staking for the Delegator | 1 KUB | 100 KUB | No Delegators |
| Infrastructure Provider | On-Cloud or On-Premises | On-Cloud (Huawei) or On-premises | On-Cloud (Huawei) or On-premises |
| Reward Percentage | Subjected to KUB staked and validator’s staking power | Subjected to KUB staked and validator’s staking power | Subjected to KUB staked and validator’s staking power |
| Staking Fee | ~5% | Manageable (Set by Validator) | - |