Disclaimer: This post details a complex on-chain process called delegation. It is intended for a crypto-savvy audience and comes with its own degree of risk. All $AUDIO holders are welcome to participate!
Looking to put your $AUDIO to work?
Well look no further, as delegation is now live on Audius!
As illustrated in our staking primer, decentralized node operators secure Audius by staking $AUDIO.
With delegation, you can participate in the security and on-chain rewards of the network without having to set up your own node!
With 7% automatic annual issuance being routed to node operators on-chain, delegation is a great way to put your $AUDIO to work by securing the network.
Note: This guide assumes you have MetaMask setup with an ETH wallet, have $AUDIO tokens held there, and have ETH available in the same wallet to pay gas fees for transaction fees.
To delegate tokens, head over to the Service tab of the protocol dashboard and look at the list of node operators.
Every node operator has a minimum self-bond of 200,000 $AUDIO, covering the skin in the game necessary to participate in network security.
To choose a node operator, take a look at the total $AUDIO staked, Services and Deployer Cut. As a quick refresher:
- Staked $AUDIO – The total amount of $AUDIO staked across all the operator’s nodes, measured as a combination of tokens staked or delegated to a given address.
- Deployer Cut – The fee delegates pay to node operators in $AUDIO tokens for staking on their behalf.
- Services – The number of unique nodes run by a given operator.
- Delegators – The total number of unique addresses delegating tokens to the Operator.
Once you’ve found a node operator you trust, connect to your web3 wallet and click on any profile to find the ‘Delegate’ button in the top left.
Next, select the amount of $AUDIO token you wish to delegate, currently set at a minimum of 100 tokens.
Follow the prompts to confirm your delegation and select Confirm!
Congratulations, you’re now delegating your tokens to secure the Audius network!
Please note that undelegating requires a 7 day cooldown period, meaning to withdraw from the system, your tokens will become available one week after the request is made.
It’s extremely important to conduct research on different node operators, as delegated tokens are subject to the good (and bad) behavior of that operator. This means should a node operator get slashed, and you are delegated to them, you will lose tokens too.
If you’ve made it this far, consider yourself one of the most sophisticated community members of Audius!
Throughout this process, you’ve played a crucial role in securing the network and have set yourself up to earn from your value-added participation in Audius.
In the coming months, the Audius community anticipates sharing more updates around staking in-app, making it easier to get started.
Until then, be on the lookout for staking rewards starting in the near future!