Curious about earning rewards while supporting the future of AI? Staking Bittensor might be the perfect way to get started.
Bittensor is a revolutionary platform combining blockchain technology and machine learning, creating a decentralised network where AI development is open, shared, and monetised. Participants earn TAO tokens in return by contributing to the training of machine learning models.
In this guide, we’ll walk you through how to stake your TAO tokens, so you can start earning rewards while helping shape the future of artificial intelligence.
How to Stake Bittensor (TAO)?
Staking your Bittensor tokens can seem like a complicated task, but by following the steps below, you can delegate your TAO to validators in the Bittensor network easily. This guide will walk you through each stage of the process clearly and straightforwardly, ensuring that your staking experience is smooth.
Step 1: Get TAO on Your Polkadot Wallet
Before you start, ensure that your Polkadot wallet contains the TAO tokens you want to stake. If you don’t have any TAO tokens in your wallet yet, you can purchase them on an exchange like MEXC, KuCoin and Gate.io. After purchasing, send the TAO tokens to your Polkadot address, making sure you have control of the private keys.
Step 2: Visit the Polkadot JS Website
Once your account is set up, deposit your QNT tokens. You can transfer it from an external wallet or buy it directly on the platform using fiat or another cryptocurrency. Make sure the tokens are successfully credited to your account before moving on to the next step.
Step 3: Go to the Staking Section
Start by going to the official Polkadot JS website. This platform will be your hub for staking TAO within the Bittensor ecosystem. It’s important to make sure that the URL is correct and that you are accessing the proper RPC for Bittensor to avoid any security issues. Use the following link for safe access:
Double-checking the RPC settings ensures that you are interacting with the correct Bittensor network.
Step 3: Select Your Account
Next, you will need to choose the account that holds your TAO tokens. In the field labelled “using the selected account,” select the account from which you plan to stake TAO. If you have multiple accounts, ensure that you pick the correct one, as you can only stake tokens available in that specific wallet.
Step 4: Choose "subtensorModule" and "addStake"
On the left-hand side of the page, find the “subtensorModule” option. This module handles all staking-related functions within the Bittensor network, making it the key feature you need for this process.
In the right column, choose the function labelled “addStake(hotkey, amountStaked).” This function allows you to delegate a specific amount of your TAO tokens to a validator, identified by their unique hotkey.
Step 5: Enter the Validator’s Hotkey
Now, in the “hotkey” field, you’ll need to paste the hotkey address of the validator to whom you want to delegate your TAO tokens. You can choose any validator within the network by searching for their hotkey address here. Validators are essential participants in the network, so choose wisely based on your research and preferences.
Step 6: Specify the Amount of TAO to Delegate
In the “amountStaked” field, enter the number of TAO tokens you wish to stake. Keep in mind that you must add nine zeros after the amount, as you are actually entering the amount in RAO, the smallest unit of TAO. For instance, if you want to stake 50 TAO, you should input it as 50000000000 RAO.
Understanding the conversion between TAO and RAO is crucial to ensure you stake the correct amount.
Step 7: Submit the Transaction
Once all the details are entered correctly, scroll down to the bottom right of the page and click the “Submit Transaction” button. Follow the prompts from your wallet to confirm the transaction.
After completing this step, your TAO will be successfully staked, and you will begin earning rewards based on the validator’s performance. Staking Bittensor is not just a way to support the network, but also a way to grow your holdings over time.
Popular video guides on Staking Bittensor (TAO)
Best Places to Stake Bittensor (TAO)
Coinbase offers a highly secure and user-friendly staking platform that allows users to participate in blockchain validation and earn rewards. With support for over 15 networks, Coinbase provides a trusted infrastructure for developers, exchanges, and financial institutions to stake assets securely. Users can delegate staking from their preferred wallets and enjoy flexible options with a minimum investment as low as $1. The platform ensures top-notch security and transparency, making it a reliable choice for staking solutions.
Pros:
- High-security standards for safeguarding staked assets.
- User-friendly interface with detailed staking guides.
- Low minimum investment requirement for beginners.
- Supports multiple staking networks and cryptocurrencies.
- Transparent, publicly audited platform.
Cons:
- Unstaking can take time depending on the blockchain network.
- Limited staking rewards compared to some competitors.
- Higher fees on certain transactions.
- Some staking options may have complex requirements for beginners.
Bittensor Wallet is a non-custodial solution designed to support seamless transactions on the Bittensor network. It allows users to securely manage their assets while providing identity services for Web3 applications. The wallet's design prioritises security, offering features like private transfers and efficient staking of TAO tokens to validators. Its user-friendly interface ensures ease of use for both beginners and advanced users.
Pros:
- Non-custodial, offering complete control over funds.
- Supports staking TAO tokens directly to validators.
- Acts as an identity provider for Web3 applications.
- Strong security features for private transfers.
- Simple interface for managing wallet functions.
Cons:
- Limited to the Bittensor network.
- Lacks support for a wide range of tokens.
- Not beginner-friendly due to staking complexity.
- Limited customer support for troubleshooting issues
Coinsunited.io is a cryptocurrency exchange that provides users with staking opportunities across a range of digital assets. The platform supports staking for multiple cryptocurrencies, offering competitive rewards and flexible staking periods. Coinsunited.io ensures a seamless experience with real-time analytics, secure storage, and advanced tools to track and manage staked assets, making it ideal for both casual and professional users.
Pros:
- High staking rewards with competitive APY rates.
- Wide selection of supported cryptocurrencies for staking.
- Advanced security measures including cold storage and two-factor authentication.
- User-friendly interface with real-time analytics.
- Flexible lock-up periods for staking.
Cons:
- Limited customer support for staking queries.
- High minimum staking requirements for certain assets.
- Volatile staking rewards depending on market conditions.
- Some assets may not have consistent staking availability.
Also read: How To Convert Cryptocurrency To INR?
Benefits of Staking Bittensor (TAO)
Staking Bittensor offers several compelling benefits, making it an attractive option for investors looking to grow their holdings while actively contributing to the network. By staking TAO tokens, you unlock the opportunity to earn rewards, secure the network, and participate in governance, all while supporting the decentralisation of the Bittensor ecosystem. Let’s explore the key benefits in detail.
Earn Rewards Over Time
Staking TAO tokens allows you to earn additional rewards, which can significantly increase your overall holdings. These rewards come in the form of additional TAO tokens, offering you a way to compound your investment without the need for active trading. The longer you stake your tokens, the more rewards you can accumulate, making it a powerful tool for long-term growth.
Strengthen Network Security
When you stake your TAO tokens, you help secure the Bittensor network by locking up your assets. This process makes the network more resilient against potential attacks and ensures that transactions are processed safely and efficiently. By contributing to network security, you also play a direct role in maintaining the stability and integrity of the Bittensor ecosystem.
Participate in Governance
Staking TAO tokens gives you voting rights in the network’s governance. This means you can actively participate in decision-making processes that shape the future of Bittensor. Whether it’s voting on proposals or influencing key updates, your stake gives you a voice and ensures that you have a say in the direction of the project.
Support Decentralisation
Decentralisation is a key factor in the long-term success of any blockchain network. By staking TAO, you contribute to the decentralised nature of Bittensor, helping to distribute control and decision-making across a wider range of participants. This enhances the network’s stability, scalability, and future growth potential.
Frequently Asked Questions
How to Select The Bittensor Validators?
When choosing Bittensor validators, consider factors like commission rates, which affect your rewards, and the number of users, as more delegators can indicate reliability. Also, check the validator’s self-staked balance—a higher amount shows their commitment. Be cautious of network share; supporting smaller validators aids decentralisation but requires regular monitoring to ensure they’re still active.
How Are TAO Staking Rewards Generated?
TAO staking rewards are generated every 12 seconds when new TAO is minted and distributed across 32 subnets. Each subnet’s share is based on its performance. The rewards are split into three parts: 18% goes to the subnet owner, 41% to subnet validators as dividends, and 41% to subnet miners as incentives, determined by the Yuma Consensus mechanism.
Are There Any Risks of Bittensor Staking?
Yes, Bittensor staking comes with several risks. Slashing risk can occur if a validator violates network rules, potentially losing part of their staked tokens. Validators can also drop out of the active set, stopping rewards. Additionally, protocol security risks like bugs and data security risks may expose sensitive information sent across the Bittensor network. Therefore, monitoring your validator is essential.
Where Can You Store TAO?
You can store your TAO tokens in a few secure ways. Trust Wallet is a popular option, allowing you to store, buy, sell, and swap TAO while offering security features like an encrypted cloud backup. Alternatively, you can use the Bittensor Wallet, available on the Chrome Web Store, for a streamlined storage solution.
