What is Terra (LUNA) Staking?

Support Terra and compound LUNA by staking.

M
Written by Mike
Updated over a week ago

When staking Terra (LUNA) you are securing the network with the additional benefit of compounding your LUNA!

Staking LUNA is the process of holding LUNA "stake" to partake and support the operations in the Terra network to receive rewards. In order to be a "Validator" and participate in these operations, one is required to maintain a server running continuously, technological knowhow, experience, and have a significant self-bond (surety bond).

This is where P2P Validator comes in, we allow LUNA token holders to forget about all the heavy lifting i.e maintenance, surety bonds etc. by "delegating" their holdings to P2P to receive these rewards. We accumulate users' stake and act as a major validation node, receiving and allocating staking rewards between our users pro rata to the delegation.

Users that chose to stake with P2P maintain full custody of their LUNA at all times and P2P will never have access to them.

Example:

The current APR for staking LUNA is 6% with a fee of 8% and I delegate 1000 LUNA to P2P:

Reward: 1000*6% = 60 LUNA
Fee = 60*8% = 4.8 LUNA
Estimated balance after 1 year = 1000+60-4.8 = 1055.2 LUNA

By simply delegating my 1000 LUNA as I hold it, I will have supported the network and earned an additional 55.2 LUNA after 1 year.

Please keep in mind that the APR specified are approximate and changes along with network conditions.



For more information on staking Terra (LUNA) with P2P Validator, visit https://p2p.org/terra.

For additional staking support, visit the P2P Help Center.

You can also get in contact with our community on telegram or with a live agent by selecting the speech bubble on the bottom right of this page.

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