STAKING BLUZELLE

Bluzelle is a decentralized data storage that is secure, tamper proof and scalable. In today’s world of never ending stream of information that needs to be processed and stored Bluzelle offers a distributed database with less vulnerabilities than centralized database storage. Bluzelle softnet launched on 8th of August while the phase 2 the mainnet will be launched on September 8th. Users can now stake Bluzelle tokens (BLZ) to earn staking rewards. BLZ is Bluzelle’s ERC-20 token on Ethereum blockchain.

Cryptocurrency staking is a collection of cryptocurrency funds to participate in the network of a blockchain consensus. Staking is a particular characteristic for proof-of-stake blockchain which is a more efficient alternative to mining in proof-of-work. In proof-of-stake validators earn staking rewards as bonuses used to encourage people to participate in the decision making of the chain.

Bluzelle has two cryptocurrencies at the moment, the ERC-20 token BLZ and its mainnet coin BNT. BNT will be used for staking on the Bluzelle network and BLZ holders can easily convert their tokens to BNT for staking. The staking process on Bluzelle network comes with lots of benefits like controlling circulating supply and as much as 25% APY. Highlighted below are a few steps to take when staking on the bluzelle network;

• Load your Ethereum BLZ account on Metamask: Make sufficient ETH available for transaction fees to send your BLZ token.
• • Create a Bluzelle BNT & Matches with your Ethereum Account: Using Metamask connect your wallet to https://staking.bluzelle.com create an account and login.
• For new users, a safety code called seed phrase will be shown. Make sure to copy it and. save it in a secure place where no one can have access to it. Loosing it may automatically lead to permanent loss of your funds. This phrase is needed each time. you try to access your account.
• Next, put in the seed phrase to further proceed. The transaction on Metamask will. require a signature by you so that your new Bluzelle BNT wallet is directly connected to your Ethereum account. By so doing, the correct amount of BNT tokens are converted into your Bluzelle wallet.
• • Convert ERC-20 BLZ to BNT: Once you are logged in, under the Ethereum BLZ account block click on “Convert to BNT” and input the amount. Only 10–250,000 BLZ is sent for every transaction. On Metamask, confirm your transaction (you will need ETH for gas). The ERC 20 token will be sent and locked in the Bluzelle Official House Wallet. You can view your transaction by clicking “ Check on Etherscan”. Never send BLZ tokens directly to the house wallet from exchanges or any other wallet, if you do you risk loosing your funds forever. Only use the bluzelle staking dashboard. to follow the flow. The amount of ERC-20 BLZ deposited will be equivalent to the amount of BNT tokens you will receive. There will be a maximum delay of 24hours due to the multiple times the ETH-Cosmos relayer runs, once the relayer runs your BNT token balance will be shown under your account. It can also be accessed from Bluzelle Explorer.
• • Stake and earn: Once you receive your BNT tokens you can start staking immediately. Cilck on the stake button, you will see a list of validators you can delegate to. Select the validator and enter the amount of stake. Please note that for every transaction you will need 2 BNT as network fee. So make sure you leave sufficient available BNT balance. For example, if you have 1000BNT in your “available balance”, yo can only stake a maximum of 998 in this transaction. You can also unstake from a validator any time. However, your BNT tokens will go 21-day unbonding period, which means you can’t use these tokens to redelegate to another validator to earn rewards during this period. We suggest you keeping your tokens staked to earn the rewards for the full phase 1
• • View & Claim Rewards: There are two parts of Bluzelle staking rewards:
• . * Network fees: You can view and claim this under the “My account page”, “ My rewards” section. You need to have 2BNT in your available balance to send a “claim reward” request. These rewards can be used immediately (no unbinding period)
• . * Additional staking rewards from the Bluzelle Pool: These rewards will be sent to your Bluzelle account every 24hours. It will add to your “available balance” automatically and can be used immediately.
• . There are 2 phases of conversion from BLZ to BNT.The phase1 mainnet where the BNT wallet is only created and not converted, staked and returned in form of BLZ. For every blockchain networks different ways are employed for the calculation of staking rewards based on certain factors: The number of coins to be staked in the network, the inflation rate, duration in which the validator has been staking, total coins staked in the network and more so other networks also consider the fixed percentage. With the provision of this staking network, several misbehaviours and practices are avoided in order to safeguard people’s crypto assets. The platform has designed an annual BLZ reward pool that will be of great sustainance and growth to the network. The Bluzelle’s staking program is designed that every participant who stake early, earn 25% per year. The network’s reward pool grows directly proportional to the overall staking pool. To as much people who are willing to participate in staking BLZ tokens the larger the pool gets.
• . With a new development of staking in Bluzelle, different plights are created to help participants make passive income by being a part of those who gain rewards. Though without much assurance of risk factor but proper heed needs to be taken when staking.