DyDx (DYDX)
Validators
Kiln Staking Contract
Note : Staking happens on the dYdX Cosmos App-chain, not on Ethereum You can bridge your assets here
Overview
Stake activation time
Instant
Auto-compounding
Disabled on Kiln Dashboard as DYDX rewards paid in USDC cannot be automatically converted to DYDX.
Unbonding time
30 days
Rewards Distribution
First rewards: next block once stake is active (0-1 second).
Rewards frequency: every block (1 second).
Last rewards: last rewards earned before unstaking.
Active Set
Top 60 by Voting Power
Slashing
Yes. Downtime and double-signing are both eligible for slashing. When a validator double-signs they are removed from the validator set and are unable to join again.
Staking Workflow
How does staking works?
On Cosmos Chains such as dYdX, token holders choose a validator to delegate a select amount of tokens to. The delegator initiates a delegation transaction, which involves locking their tokens in a smart contract. These tokens are then counted towards the validator's total stake.
What is the staking process?
After the delegation has been initiated, DYDXs are changed to validator shares of the validator you delegate to.
Do funds move out to another wallet?
Staked DYDXs are not part of the balance anymore, but they don’t go to another address.
Can I keep staking/unstaking from/to the same wallet?
Yes, you can increase the staked amount or unstake part of it at anytime.
Can I select how much of my wallet balance I want to stake?
Yes, you select the amount of tokens you want to stake to earn rewards.
How do I unstake?
You can unstake by unbonding your funds. After you initiated the process:
• You stop receiving staking rewards
• It will take 30 days for the amount to be liquid
• But you will be able to cancel the unbonding process anytime, as this chain currently supports the function
Can I unstake part of the staked balance?
Yes, you can select the amount of tokens you want to unstake (this takes 30 days).
How is my balance computed at epoch N for the rewards distribution?
The balance computed at block N for the rewards distribution is the balance at block N.
What is the slashing risk on dYdX ?
Downtime: During a block window (8,192 blocks) if a validator signed less than 20% of the blocks, he will get jailed for 2h but will not be slashed. No rewards can be earned during that jail time. Double signing: When a validator attests to two different blocks, it will face slashing. Stakers who have delegated to the slashed validator will not incur a reduction in their stake but the validator won't ever be able to earn rewards again. Delegators will have to redelegate to another validator in order for their stake to earn rewards again.
How is commission paid?
Commissions are paid to the validator at the same frequency than the reward distribution (every block).
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