❔FAQ
SpaceStake FAQ
What is SpaceStake?
SpaceStake is an upcoming platform designed to harness the potential of Proof of Stake (PoS) blockchains. Our primary offering will be to provide a secure and robust infrastructure for validating and securing these networks through a network of validators.
What is Staking?
Staking in the context of cryptocurrency is the process of participating in transaction validation on a proof-of-stake (PoS) blockchain. Anyone with a minimum-required balance of a specific cryptocurrency can validate transactions and earn staking rewards. It's a way to earn passive income with your crypto holdings, akin to earning interest in a savings account.
What is a Validator, and What's Its Purpose?
A validator in a PoS blockchain is a participant responsible for storing data, processing transactions, and adding new blocks to the blockchain. Validators are crucial to maintaining the integrity and security of the blockchain network. They are selected to create new blocks based on the amount of cryptocurrency they hold and are willing to "stake" or lock up as collateral. By staking their coins, validators are incentivized to maintain network security and honesty, as malicious actions could lead to the loss of their staked amount.
Why should I delegate to SpaceStake?
By delegating, you contribute to the security and stability of the network. In return for your support, you receive a portion of the rewards allocated by the protocol. If you intend to hold your token for an extended period, delegating your holdings can be a beneficial strategy to earn additional tokens, simultaneously aiding in maintaining the network's robustness. SpaceStake is a team of experienced blockchain developers and validators. We have been building and staking in the crypto world for five years. Our investments are a shared mission with our token holders for a prosperous future.
What’s the difference between Staking and Delegating?
Staking generally refers to earning returns on an asset from a specific source, often involving direct interaction with a Smart Contract and temporary relinquishment of asset ownership.
In PoS blockchains, however, when you use a validator, you're not interacting with a Smart Contract but at the protocol level. Here, we prefer to use the term "delegating." When you delegate, you retain ownership of your asset but grant the voting power associated with it to the validator of your choice.
As we will develop and launch more nodes, the reason will become clear: our focus is on simplifying no-custodial staking for newcomers, making it accessible and straightforward for everyone.
Do I keep the ownership of my tokens if I delegate?
Yes, you retain full ownership of your tokens. You can ask for unbonding at any time.
What are the risks of delegating?
Delegating is a safe process. However, there are some risks to be aware of. The first is the risk of slashing. Slashing is a penalty imposed on validators for malicious behavior. Note that we stake our own tokens alongside yours, so we are incentivized to act in the network's best interest.
Can I undelegate my tokens anytime?
Yes, you can undelegate your tokens at any time. However, there is a waiting period of some days before you can transfer your tokens. This period varies depending on networks, and exists to prevent long range attacks.
What is a Blockchain?
A blockchain is a digital ledger of transactions, duplicated and distributed across the entire network of computer systems on the blockchain. Each block in the chain contains a number of transactions, and every time a new transaction occurs on the blockchain, a record of that transaction is added to every participant's ledger. This decentralized database managed by multiple participants is known as Distributed Ledger Technology (DLT).
What is an Asset?
An asset refers to anything of value or utility, like cash, real estate, or cryptocurrencies. We plan to support a broad range of cryptocurrencies, enabling users to stake these assets to our validators. The platform will feature asset management tools, user-friendly dashboards, and strategies like Dollar-Cost Averaging (DCA) to optimize benefits.
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