Hyperliquid has officially launched HYPE staking on the mainnet, allowing users to earn rewards through staking their tokens with trusted validators.

This organization is dedicated to fostering the growth and evolution of the Hyperliquid Layer 1 blockchain and its ecosystem, and has officially launched the staking feature on its mainnet. Hyper Foundation Users are now able to stake their HYPE tokens with reputable validators to earn rewards in the same token. When selecting a validator, users might want to evaluate different aspects like uptime, commission rates, and community contributions.

Additionally, the Hyper Foundation plans to implement a Delegation Program which aims to support validators that perform well and enhance the overall decentralization of the network. Upcoming details about this program will be disclosed later. It’s crucial to understand that while tokens can be locked and staked, the rewards for these tokens will also be locked.

This staking initiative marks a significant step forward for Hyperliquid, as it engages the community of HYPE stakers in collaboratively securing the network. Similar to other proof-of-stake networks, validators propose new blocks on Hyperliquid based on the total amount of HYPE currently staked with them. Staking is a fundamental responsibility for members of the Hyperliquid community.

Staking is a pivotal achievement for Hyperliquid, as it empowers the varied community of HYPE stakers to join forces to secure the network. Just like in other proof-of-stake systems, validators on Hyperliquid propose new blocks proportionally to the total HYPE staked with them.

In order to become an active validator, one must have a self-delegation of at least 10,000 HYPE tokens. Upon activation, the validator takes on the responsibility of producing blocks and earning rewards corresponding to the total delegated stake. Validators are permitted to charge a commission to their delegators, but this rate is capped at 1%, thus ensuring that validators cannot excessively raise their fees after accumulating a significant amount of stake, thereby protecting stakers from possible exploitation. HYPE tokens Delegations made to a specific validator come with a one-day lockup period. After this timeframe, users can choose to undelegate partially or fully at any moment. Any amounts that have been undelegated will be shown immediately in the staking account balance. Transfers from the spot account to the staking account are executed instantaneously, whereas transfers from the staking account back to the spot account must go through a seven-day unstaking queue.

Within an hour of the staking launch, a staggering 300 million tokens had been staked, amounting to $8.4 billion, alongside an additional contribution of 7 million tokens from users.

Hyperliquid has been meticulously crafted to provide users with an uninterrupted and efficient experience from the ground up. The platform’s aim is to create a fully on-chain, open financial system where user-generated applications can seamlessly integrate with optimized native elements, ensuring strong functionality without compromising the user experience.

At the time of launch, Hyperliquid The blockchain is specifically designed to support a wide array of permissionless financial applications. Each operation—whether you’re placing an order, canceling it, executing a trade, or processing a liquidation—occurs transparently on-chain, boasting a block latency of less than one second. The architecture is capable of managing up to 100,000 orders per second, highlighting its impressive scalability and reliability for high-demand applications.

What Is Hyperliquid?

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Alisa, a committed journalist at Cryptocurrencylistings, specializes in cryptocurrency, zero-knowledge proofs, investment strategies, and the broad spectrum of Web3 technologies. With a sharp eye for the latest trends and advancements, she offers in-depth coverage that keeps readers informed and engaged in the dynamic world of digital finance.