Ontology launched OWallet v0.8.8 on September 29th, 2018, introducing support for the new staking feature of the Ontology Blockchain (available starting Ontology block #414,100).
Two types of nodes are available on the Ontology Network, “consensus nodes” and “candidate nodes”. The genesis setting is set to 49 nodes in total, with can be adjusted dynamically later on. The ratio of of the consensus to candidate nodes is set currently to 1:6, which implies 7 consensus nodes and 42 candidate nodes.
To be eligible as a node, one needs to stake at least 100,000 ONT, submit KYC information, and meet the specified hardware requirements. Nodes with the most ONT staked are selected, up to a maximum of 49 nodes at the moment. The first seven nodes function as consensus nodes, whilst the other 42 take the role of candidate nodes. Initially, nodes will be revised every 30 days.
For those who wish to participate in consensus mechanisms without staking 100,000 ONT, another option is to delegate their ONT to existing nodes in exchange for the opportunity to earn rewards. Users can authorize ONT stakes in multiples of 500 for a fixed period of time.
Staking is currently in “Authorization” and will start during the next consensus round (estimated to be late October 2018 / Ontology block #534,100), however spots are filling up quickly.
Fees on ONT blockchain are split 50/50 between the consensus nodes and the candidate nodes. Each node can decide which percentage of fees they want to redistribute to the people staking their ONT with them.
Users should keep in mind that even while staking ONT with a node, it will still generate ONG, which will be earned on top of the fees received from the node itself.
Also, as an incentive, the Ontology Foundation will reward nodes with an additional 10,000,000 ONG during the first three years following ONT MainNet launch.
According to data provided by Ontology, the highest earnings of a single consensus node during the two previous consensus rounds (including the foundation incentive) amounted to a total of approximately 26,000 ONG.
Finally, the stake authorization process can be cancelled at the users will, and candidate nodes can also be knocked out in the next consensus rounds if their stake falls below the ONT threshold required. All staked ONT is returned after staking, however ONT stakes delegated to a candidate node will have to wait one consensus round before being returned, and two rounds for a consensus node.
The OWallet can be found at – https://github.com/ontio/OWallet/releases
A guide on how to stake ONT can be found at the below link:
For more information about Ontology visit one of the links below.
Written by Vincent Geneste
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