FAQ

Staking on Analog/Timechain allows you to earn rewards while contributing to network security by locking up your $ANLOG tokens. It uses Substrate's Nominated Proof-of-Stake (NPoS) mechanism where token holders can nominate their stake to validators who produce blocks and secure the network.

Analog's NPoS mechanism is built on Substrate, the same framework used by Polkadot, so they share core functionality. However, Analog has customized certain parameters like era duration (12 hours vs. 24 hours on Polkadot) and may implement unique features in the future. See Network Parameters for more details.

Staking $ANLOG provides multiple benefits including earning passive income through rewards, contributing to network security, and participating in the Analog ecosystem. Early stakers can enjoy higher returns, with APY potentially reaching around 45% when 40% of tokens are staked.

• Validators: Secure the network, produce blocks, and earn rewards. They must maintain high uptime and integrity.
• Nominators: ANLOG holders who delegate tokens to validators or pools. Nominators share rewards but assume risks like slashing if their validator misbehaves.

A Nomination Pool is a type of staking pool in the Substrate ecosystem that allows users to combine their tokens to stake with multiple validators. This enables participation in staking without needing a large amount of tokens. The pool is managed by the pool operator.

Currently, validator access is restricted to a whitelisted group, but the network will transition to an open system where anyone can participate. Validator selection will then be determined by stake backing (self-stake and nominations) and performance. Active validators can be viewed on the Timechain Explorer  or Polkadot.js Apps. 

Currently, token holders can only stake unlocked/transferrable tokens. However, staking both unlocked and locked tokens will be supported in the future.

Yes, many Substrate ecosystem tools, such as Polkadot.js, Talisman, and SubWallet, support Analog staking. However, for the best experience, Analog will provide a dedicated staking dashboard.

The minimum number of tokens required to join a nomination pool on the Analog Network is 1 $ANLOG. However, this requirement may change with future network updates or parameters..

APY depends on the staking rate:

• Low staking rate: Higher APY (incentivizes participation).
• High staking rate: Lower APY.
  Initial rewards come from 2% of the token supply; later, 8% annual inflation will fund rewards and the Treasury.

Rewards are distributed per 12-hour era. Validators earn points for actions like block production, and rewards are split proportionally among nominators.

Rewards are distributed after each era. You must claim them manually via your wallet or dashboard. Unclaimed rewards expire after 84 eras (~42 days).

After initial emissions, an 8% annual inflation rate will fund validator/nominator rewards and the Treasury. Governance can adjust this rate.

Yes. Analog plans to enable permissionless nomination pools, allowing users to create and join pools freely.

Yes, Analog plans to introduce a governance mechanism allowing token holders to vote on nomination pool configurations and other staking parameters, giving the community direct input on the staking ecosystem.

The inclusion fee is the minimum required fee for a transaction to be processed on the Timechain. It consists of:

• Base Fee: A fixed amount applied to all transactions, set by the runtime.
• Length Fee: A charge calculated by multiplying the transaction size (in bytes) by a set rate.
• Weight Fee: A charge based on the computational resources your transaction consumes

The formula is:

Inclusion Fee = Base Fee + Length Fee + Weight Fee

Additionally, you might want to ensure that:

• A 1 $ANLOG minimum deposit is required to activate a wallet. See Existential Deposit for more details.
• Transaction fees typically range from 0.001-0.005 $ANLOG, varying with network usage and transaction complexity.
• Fees are deducted before your transaction is executed.
• Transactions will fail if your balance cannot cover both the inclusion fee and maintain the minimum required Existential Deposit.

The existential deposit is the minimum amount of tokens an account must hold to remain active on the Analog Network. If an account’s balance falls below this threshold, the network may remove (or “reap”) the account to optimize storage. The existential deposit is necessary to:

• Prevent state bloat: Accounts with very small balances or empty accounts are labeled as “dust accounts.” Without an existential deposit, these accounts could accumulate in large numbers, leading to unnecessary data storage and processing demands on the blockchain.
• Maintain network performance: By enforcing a minimum balance, the network avoids being slowed down by excessive inactive or irrelevant accounts, ensuring faster transaction processing and lower fees for active users.
• Enhance security and scalability: The existential deposit helps prevent malicious actors from creating millions of low-balance accounts to spam or overload the network.

For more details, refer to Existential Deposit.

• Era: 12 hours (reward distribution cycle).
• Session: 3 hours (validator rotation window).
• Bonding Duration: 21 days (unbonding period after unstaking).

For more details, see Network Parameters.

Currently, use Talisman, Polkadot.js**,** or SubWallet. A native Analog Staking Dashboard is under development for improved UX.