Stakecito is pleased to announce its role as a finality provider for the upcoming Babylon Bitcoin Staking Mainnet. Set to launch on August 22, 2024, this milestone marks the beginning of a new era in decentralized security, where Bitcoin holders can directly contribute to the security of Proof-of-Stake (PoS) systems. On the day of the mainnet launch, you will be able to stake your Bitcoin with Stakecito and participate in this transformative initiative.
The Babylon Bitcoin Staking Protocol
Babylon’s innovative staking protocol connects the value of Bitcoin with the security needs of PoS chains, Layer 2 solutions, Data Availability layers, and oracles. This protocol allows Bitcoin holders to stake their assets without relying on a trusted intermediary, enhancing the decentralization and security of the entire ecosystem.
The mainnet launch will unfold in three phases, starting with Phase-1: Bitcoin Locking. This phase sets the foundation for Bitcoin’s integration into PoS consensus mechanisms in the subsequent phases.
Phase-1: Details and Participation
Phase-1 is critical as it initiates the process of integrating Bitcoin into Babylon’s PoS chain. Below are the key details for Phase-1:
Maximum Staking Time and On-Demand Unbonding
Maximum Staking Time: Each stake during Phase-1 is set with a maximum staking time of 64,000 Bitcoin blocks, approximately 15 months. After this period, the stake automatically expires and becomes available for withdrawal.
On-Demand Unbonding: Stakers can unbond their stake at any time before expiration. There will be an on-chain unbonding period of 1,008 Bitcoin blocks (around 7 days), after which the stake will be available for withdrawal.
Transactions Involved
During Phase-1, all transactions are conducted on the Bitcoin blockchain:
Staking: Bitcoin stakers generate and submit staking transactions to the Bitcoin blockchain.
Unbonding and Early Withdrawal: To unbond and withdraw a stake before its expiration, a staker must generate an unbonding transaction followed by a withdrawal transaction.
Automatic Expiration and Withdrawal: If a stake reaches its maximum time without unbonding, it will automatically expire, and a withdrawal transaction must be generated to retrieve the stake.
Initial Total Staking Cap
Staking Cap: The initial total staking cap is set at 1,000 bitcoins. Stakes are accepted on a first-come, first-served basis until the cap is reached.
Overflow Handling: Any stakes that exceed the cap are considered overflow and should be unbonded and withdrawn. There is no staking queue; if the cap reopens, new staking transactions must be submitted.
Limits Per Staking Transaction
Minimum Stake: 0.005 bitcoins. This minimum ensures that the staking amount covers the necessary transaction fees.
Maximum Stake: 0.05 bitcoins. This limit encourages broad participation, preventing a single entity from monopolizing the staking process.
Points System and Commissions
Points Allocation: During Phase-1, stakers and finality providers will earn Babylon points. The initial allocation is 3,125 points per Bitcoin block, distributed proportionally among active stakes.
Commission: Finality providers, like Stakecito, will earn a commission from the points allocated to each stake.
Covenant Committee
The covenant committee, a 6-out-of-9 multi-signature verification scheme, will secure the on-demand unbonding process. The committee ensures that unbonding transactions are correct and secure but cannot interfere with the expiration or withdrawal of staked bitcoins.
How to Stake with Stakecito
On launch day, August 22, 2024, you will be able to stake your Bitcoin with Stakecito. As a finality provider, Stakecito ensures that your staked Bitcoin contributes to the security of PoS systems while earning rewards in the form of Babylon points.
To participate, click on this link to Stake with Stakecito on launch day and secure your place in this initiative.
Wallets Compatible with Babylon Bitcoin Staking
To successfully stake your Bitcoin with Stakecito on the Babylon Mainnet, it’s crucial to use a wallet that integrates seamlessly with the network. Ensuring you have the right wallet will not only enhance your staking experience but also provide the necessary security and flexibility to manage your assets effectively.
This guide will help you choose the best wallet to ensure a smooth and secure staking process on launch day, August 22, 2024.
Why Choose Stakecito?
Proven Expertise: With over six years in blockchain validation, Stakecito is a trusted leader, securing over 250 million in assets across more than 40 networks.
Security and Reliability: Stakecito offers robust infrastructure designed to protect and optimize your staking experience.
Community-Centric Approach: Stakecito is the most prominent community validator in the Cosmos ecosystem, committed to supporting and growing the blockchain community.
Mark your calendars for August 22, 2024, and be ready to stake your Bitcoin with Stakecito. Together, we can shape a more secure and decentralized future.
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About Stakecito Labs
At Stakecito Labs, we've honed our craft as validators. Our reputation as the third-largest validator by delegation count within the Cosmos ecosystem speaks to our unwavering dedication and the trust placed in us by over 270,000 delegators worldwide.
Our validation services are not just about maintaining Cosmos blockchain networks though; we validate networks outside of Cosmos as well (NEAR, Aleph Zero, etc.).
Our core mission is centered on demystifying blockchain technology to ensure it's accessible for everyone, from newcomers to seasoned investors. To begin staking, visit our homepage.
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