Given the amount of information handled by Covalent, operator nodes are responsible for verifying that the data received is correct. To ensure the correct performance of these nodes, Covalent uses the Proof-of-Stake consensus mechanism, thus enabling staking among its users.

Covalent enables staking through the Moonbeam network, which can be accessed through the Nomad bridge.

To run a node for Covalent, there is a minimum staking amount set to 175 000 CQT.
If you do not want to run a node but want to earn rewards from your holdings, you can delegate your CQT to an operator of your choice.

Staking is non-custodial, that is, during the time your assets are staked, it is not the validator who has custody of your funds, but a staking contract.

You can claim your staking rewards immediately.

An epoch is the period of time it takes for each block to be processed within the Covalent network. Each epoch is equivalent to 24 h.

Currently, slashing risk does not apply to the Covalent network. The only risk faced by the delegators who are staking in Covalent consists of the staking contract being compromised. To reduce this risk, this contract has undergone multiple security audits.

For delegators, there is no minimum staking amount, although there is a maximum cap of delegations per operator. Once this maximum cap has been exceeded, the operator will no longer be able to receive delegations in an attempt to encourage decentralization among operators.

You can unstake your CXT at any time. There is a 28-day cool-down period during which your funds will be locked. This will only apply to staking funds, not to rewards, which you can claim and receive instantly. During the 28-day cool-down period, the staked tokens will not generate rewards.

The operator’s commission is set at 10%. This commission will be automatically deducted from the rewards earned and will be used for the maintenance and management of the node infrastructure.

Stakely is a verified validator with a highly reliable infrastructure and a wide experience as a staking node operator. We have staking insurance to cover our users in case of an incident, however, we always maintain a high performance thanks to our monitoring and our 24h alert system.