Looking to earn rewards while supporting a cutting-edge blockchain network? Staking Zilliqa (ZIL) might be the perfect choice for you. Zilliqa is a high-performance smart contract platform designed to tackle blockchain congestion issues. Its unique sharded architecture allows the network to process thousands of transactions per second without compromising decentralisation or security.
Launched in 2017, Zilliqa has become a leader in scaling solutions for Web3, offering efficiency and transparency for decentralised applications. The ZIL token powers the network, allowing users to pay transaction fees, participate in governance, and, most importantly, stake their tokens to earn rewards.
Staking ZIL is a straightforward way to contribute to the network’s security while generating passive income. Ready to dive in? This guide will walk you through the entire process of staking Zilliqa, ensuring you get started quickly and confidently.
How to Stake Zilliqa (ZIL)?
Zilliqa allows users to stake their tokens for rewards, contributing to the network’s security. Follow this step-by-step guide to stake your SUI tokens securely using Zilliqa’s Torch Wallet.
Step 1: Download the Torch Wallet App
Begin by downloading the Torch Wallet from the App Store or Google Play Store, depending on your device. The app supports both iOS and Android platforms. If you’re using a Ledger device for extra security, enable Bluetooth on your Ledger to connect it to Torch Wallet.
Step 2: Get Familiar with the Torch Wallet
Once the app is downloaded, open it and explore its features. Understanding how Torch Wallet works will make the staking process smoother. Learn how to send and receive tokens, view your balances, and access the staking section. Taking time to get comfortable with the wallet ensures a hassle-free experience.
Step 3: Set a Secure PIN for Your Wallet
Create a four-digit PIN to protect your wallet. Choose a PIN that’s easy for you to remember but difficult for others to guess. Enter the PIN into the app and confirm it. This PIN will be required each time you access the wallet, adding an extra layer of security.
Step 4: Create a New Wallet or Import an Existing One
Torch Wallet gives you the option to import an existing wallet or create a new one. If you’re new to Zilliqa, click Create Wallet to generate a unique seed phrase. Write this seed phrase on paper and keep it safe. Click Next to proceed.
Step 5: Verify Your Seed Phrase
The app will ask you to re-enter your seed phrase to ensure you’ve recorded it correctly. Enter the words in the exact order. This step confirms your wallet setup and protects your funds from unauthorised access. Once verified, your smart wallet will be ready.
Step 6: Add ZIL Tokens to Your Torch Wallet
Now that your wallet is set up, it’s time to add funds. Click Receive and copy your wallet address. Use this address to transfer ZIL tokens from an exchange or another wallet. Having ZIL tokens in your wallet is essential to start staking.
Step 7: Transfer Funds to Your Smart Wallet
Your ZIL tokens need to be in your smart wallet for staking. Transfer USD or ZIL from your main wallet balance to your smart wallet by clicking Funding Wallet Balance. Follow the prompts and click Continue to complete the transfer.
Step 8: Move ZIL Tokens to Your Smart Wallet
Click on the ZIL tab and choose the amount you want to transfer from your main balance to your smart wallet. This transfer prepares your tokens for staking. Confirm the transaction to complete the process.
Step 9: Start Staking Your ZIL Tokens
With your tokens in your smart wallet, you’re ready to stake. Click the Staking tab, then select Stake Now. Choose your preferred staking pool and confirm your stake. Congratulations! You’ve successfully staked your ZIL tokens and are now earning rewards while supporting Zilliqa’s network.
Popular video guides on Staking Zilliqa (ZIL)
Best Places to Stake Zilliqa (ZIL)
Atomic Wallet is a multi-functional crypto wallet that supports over 300 cryptocurrencies, making it a flexible choice for managing digital assets. It offers secure storage with private keys held locally on the user’s device. The platform allows users to stake supported tokens, swap cryptocurrencies instantly, and buy crypto with bank cards. With the integration of services like ShapeShift and Changelly, Atomic Wallet ensures smooth and fast transactions. It also offers non-custodial security, ensuring users maintain full control of their funds.
Pros:
- User-friendly interface for both beginners and advanced users.
- Supports over 300 cryptocurrencies for staking and storage.
- Private keys are stored locally, enhancing security.
- Offers integrated services like ShapeShift and Changelly for easy swaps.
- 24/7 live customer support is available for quick assistance.
Cons:
- Less secure compared to hardware wallets for long-term storage.
- Limited coin options for atomic swaps.
- Depends on third-party services for certain features.
Binance, launched in 2017, is a world-renowned cryptocurrency exchange platform that offers comprehensive services, including crypto trading, staking, and lending. As a centralised platform, Binance enables users to stake over 100 cryptocurrencies, including BNB, ETH, and SOL, to earn rewards. It provides robust educational resources to help users navigate staking options. Binance's user-friendly interface, high liquidity, and advanced security measures make it a go-to platform for crypto investors. Additionally, its automatic reward distribution ensures a seamless staking experience for users looking to generate passive income.
Pros:
- Offers diverse staking options with both flexible and locked terms.
- High Annual Percentage Yields (APRs) on popular cryptocurrencies.
- Simple and intuitive interface for beginners and experienced users.
- Multiple deposit methods, including fiat and crypto, for convenience.
Cons:
- Some geographical restrictions limit access in certain regions.
- Staking rewards can vary depending on market conditions.
- Security concerns due to past hacks, despite improved safeguards.
Torch Wallet is the most advanced Zilliqa ecosystem wallet that offers cutting-edge staking and DeFi features. It enables users to stake ZIL tokens through automated solutions that maximise profits without constant monitoring. The platform simplifies staking with features like instant unstaking, automated staking, DEX limit orders, and token swaps. Users benefit from fast transactions and high APY returns, making it a popular choice for Zilliqa holders. Torch Wallet's commitment to ecosystem growth ensures that users get a seamless staking experience while contributing to Zilliqa’s development through DAO-driven initiatives.
Pros:
- Offers instant unstaking for ZIL with minimal fees.
- Automated staking ensures users earn maximum rewards.
- Supports DEX limit orders to set custom trading prices.
- Facilitates seamless token swaps within the Zilliqa ecosystem.
- Uses staking node commissions to fund new projects and ecosystem growth.
Cons:
- Limited support for cryptocurrencies outside the Zilliqa ecosystem.
- Relatively new platform with fewer integrations compared to major wallets.
Benefits of Staking Zilliqa (ZIL)
Staking Zilliqa offers a unique way to grow your investment while playing a vital role in securing the network. Instead of letting your tokens sit idle, staking allows you to put them to work and earn consistent rewards. This process contributes to the long-term stability of the blockchain while offering investors attractive incentives. Here’s a closer look at the key benefits of staking this innovative digital asset.
Earn Consistent Rewards
Staking provides a reliable source of passive income. When you stake your tokens, you receive rewards in the form of additional ZIL. These rewards get distributed periodically, helping you increase your holdings without active trading. The more tokens you stake, the higher your rewards, making it an excellent strategy for long-term investors aiming to grow their portfolio steadily.
Contribute to Network Security
Staking plays a crucial role in ensuring the blockchain’s security and performance. By participating in the network’s consensus mechanism, stakers help validate transactions and maintain the ledger’s integrity. This contribution strengthens the system, making it more resilient to attacks or disruptions, and ensures a smoother user experience for everyone involved.
Promote Sustainability
One of the key advantages of staking over traditional mining is its lower environmental impact. Unlike energy-intensive Proof-of-Work (PoW) models, staking relies on efficient mechanisms that consume significantly less power. This eco-friendly approach aligns with the growing demand for sustainable blockchain solutions.
Benefit from Low Inflation
Zilliqa’s tokenomics are designed with long-term investors in mind. The system maintains a controlled token supply, ensuring inflation remains low. This structure makes staking more appealing for those seeking stability and long-term value, as it preserves purchasing power over time.
Frequently Asked Questions
What Is a Staked Seed Node Operator?
A Staked Seed Node (SSN) Operator is a validator in the Zilliqa blockchain network. Users delegate their ZIL tokens to these operators to earn staking rewards. The SSN Operator manages the technical aspects, such as validating transactions and maintaining network stability. However, they charge specific fees for their services. This delegation system makes staking accessible, even for those without advanced technical knowledge.
What Is Zilliqa 2.0?
Zilliqa 2.0 is an advanced upgrade designed to improve scalability, security, and user experience within the Zilliqa ecosystem. Key features include customisable and scalable sharding (X-Shards), an energy-efficient Proof-of-Stake consensus called Fast-HotStuff, seamless cross-chain communication, enhanced smart contract capabilities with Smart Accounts, and secure blockchain interaction through Light Clients. These improvements make Zilliqa more efficient, user-friendly, and interoperable with other blockchain networks.
How Is Zilliqa Different From Other Blockchains?
Zilliqa addresses blockchain scalability with its innovative sharding technology, allowing the network to scale as more users join. Unlike traditional blockchains, it combines Proof of Work (PoW) for identity establishment and Practical Byzantine Fault Tolerance (PBFT) for efficient consensus. Additionally, Zilliqa incentivises participation by rewarding seed nodes through staking, creating a robust and scalable ecosystem. This unique approach sets it apart from competitors.
How Are Zilliqa Staking Rewards Calculated?
Zilliqa staking rewards depend on the amount of ZIL tokens you stake. The system divides the total rewards proportionally among participants based on their staking contribution. Simply put, the more ZIL you stake, the larger your share of the rewards. This structure incentivises higher staking amounts and ensures fair distribution of rewards based on individual contributions to the staking pool.
