What is Moonbeam?
Moonbeam is a Layer 1 blockchain that aims to replicate Ethereum on the Polkadot ecosystem. If successful, all the apps you love that are built on Ethereum will be available on Polkadot.
Glimmer (GLMR) token
GLMR is the utility and governance token for the Moonbeam network. Some of its use-cases include paying for transactions and taking part in elections and proposals.
Holders of GLMR can also delegate their tokens to a Moonbeam collator to earn rewards. A collator is like a validator for a Polkadot Parachain – collators process Parachain transactions, which are then validated on the main Relay Chain. For more on Polkadot, click here.
This tutorial will guide you through the process of staking your Glimmer tokens (GLMR) on Moonbeam.
Getting Set Up
First, head to apps. Moonbeam.network/moonbeam.
Next, you’ll need to connect a MetaMask wallet.
If you have not done so before already, you will need to add Moonbeam as a custom network to your MetaMask. Moonbeam should do this automatically for you (see images below) but if you need help doing this manually, check out our advanced MetaMask tutorial.
Once you have this done, you’ll be directed to the main dashboard. Here is where you’ll see some of your account’s details, such as your balance, transaction history and staking balance.
To stake your GLMR tokens, first make sure that you are set to the Moonbeam network.
Next, head to the staking dashboard by scrolling down to the ‘staking’ section and clicking on ‘manage delegations’.
On the following screen, once you click ‘select a collator’, a menu will pop up where you’ll be able to see details for each of the collators.
The ‘active pool’ tab lists the collators that are producing blocks and earning rewards, whereas the ‘waiting’ tab lists collators who have yet to do so. In order for a collator to move from the waiting to the active tab, they must be one of the top 48 according to their stake (includes self-bonded and total bonded GLMR).
Although the GLMR protocol has a minimum bond amount of 50 GLMR, the ‘min bond’ amount for each collator reflects the minimum amount you would need to delegate in order to be in the top 300 delegations for that collator. You won’t earn rewards if your stake is outside of the top 300.
For the top 300 delegators, the amount of rewards received will depend on the size of the delegators contribution and the total amount staked with the collator.
Generally speaking, the idea is to choose a collator with a high number of blocks produced in the last round (this is indicated by the ‘blocks last round’ figure) and a relatively low amount of delegated GLMR. In simple terms, the less delegated = the larger your share = larger rewards. More blocks produced = better performance = more consistent rewards.
As always, it’s important that you do your own research into which collator you would like to stake with. Once you have made your decision, simply click on your chosen collator.
Next, enter the amount of tokens you would like to stake. After this, click ‘delegate’. You’ll then be prompted to sign the transaction in your MetaMask wallet.
Once the transaction is processed, your staking position should be visible on your dashboard.
Adding to a Delegation
Start by clicking on the ‘+’ icon next to the delegation you want to add to. On the following screen, simply enter the amount of GLMR you would like to add to your stake and click ‘send’. You’ll then be prompted to sign the transaction in your wallet.
Withdrawing a Delegation
You can click on the ‘-‘ icon to withdraw a portion of your delegation or ‘X’ to withdraw the entire amount.
If you’re withdrawing a portion of your stake, you’ll first need to specify an amount before clicking ‘send’. Again you will need to confirm this transaction in your wallet. Note: unless you are withdrawing your entire stake, the remaining amount must still meet the minimum requirement of 50 GLMR.
Once this transaction has been confirmed, you will see a notification next to this delegation on your dashboard like the one shown below.
If you hover over the tick icon, you’ll see the block number during which your request can be finalised. You can cancel this request at any time before this block number. Once this block number is reached (normally after 28 rounds, i.e. 7 days), you can return to this dashboard to withdraw your tokens.
Disclaimer: THIS IS NOT FINANCIAL OR INVESTMENT ADVICE. Only you are responsible for any capital-related decisions you make and only you are accountable for the results.
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