Staking

What is Staking?
Demex is now supported by >20 validators and all transactions are decentralised. Staking is a way for the community to participate in governance.

How does it work?
A lot of information have been published and shall not be repeated here.

To stake, you will need to first create an account and deposit your SWTH: https://docs.dem.exchange/getting-started/deposits-and-withdrawals

Guide to staking (screenshots are a little old but the steps are the same): https://support.switcheo.network/en/articles/4353929-staking-on-switcheo-tradehub

Many FAQs are explained here: https://support.switcheo.network/en/articles/4354028-staking-faq

Additional things you should know:


 * Each claim is 1 SWTH
 * If you staked to 10 validators, each time you click 'claim all', it's 10 claims and costs 10 SWTH.
 * Unstaking/Unbonding takes 30 days. During this time, you will not receive rewards.
 * You can transfer validators at the cost of 1 SWTH
 * Transferring validators take 30 days to complete
 * During the transfer, if either validators commits a penalty, you will be affected.
 * You are not allowed to transfer again
 * Whenever you stake to a validator, the rewards from that validator are autoclaimed to your wallet balance.
 * 6 concurrent unstaking/transfers processes - meaning you can't start a new unstake/transfer unless you have <6 that's ongoing.

Tips:


 * Always leave some SWTH to claim rewards
 * If you only have 1 SWTH left, staking it to a validator with rewards will auto-claim it for you
 * Optimal Compounding: The smaller your amount is and the more validators you have, the less frequent you should claim.

How to choose validator?
The following criteria should be used to choose a validator:


 * Fees
 * Fees are the charges that each validator decides based on their operating costs and duties
 * A 5% fee mean that 95% of the rewards due to the pool are distributed to the stakers
 * Reputation
 * Good validators help advance the project such as
 * Helping out in the community
 * Helping other validators
 * Launching campaigns
 * Developing tools for the community
 * Reliability
 * Good validators have robust systems, various fail-safes and more
 * Prompt
 * Good validators help in governance by voting promptly and exercising their rights.

Another consideration is decentralisation. If a validator controls too much of the network, it may cause problems for the network if the validator goes down. The ideal case would be to spread out the stakes.As such, it would be good to choose a validator that has less than 10% of the pool size.

You can see more information about the validators here https://switcheo.org/validators?net=main

To engage in validators, you can visit our discord server. https://discord.gg/AfPnqMdQaP Each validator has a channel.

What are the risks?
Staked tokens will be slashed by:


 * 5% when a validator double signs a block.
 * 0.1% when a validator misses signing more than 10% of its blocks in a 36000 block sliding window (ie approx. 3600 blocks in 10hrs).

If a validator is slashed, the delegators funds are automatically unbonded to protect against further losses and the validator is “jailed” and must manually rejoin the network after a delay period.

What are the potential rewards?

 * Revenue from fees generated
 * Stakers get 90% of the fees generated by the exchange.
 * Rewards
 * As per TIP-10 at, 60% of the inflation rewards goes to stakers https://switcheo.org/governance/proposal/34?net=main
 * The number of tokens issued as block rewards will start with an initial weekly emission rate of 1.9230769% in Week 1 and then decay by 1.65% week-on-week. See Tokenomics for explanation on the total supply of SWTH
 * The current APY can be viewed at https://switcheo.org/. It's between 30-40%.

FAQ:
I staked all of my SWTH and now it says insufficient SWTH to claim.

Ans: The community (DegenPower) has built an awesome tool just for this situation, just enter your swth1 address and get a few SWTH, for free! https://swth.info/faucet