This article is written with mainnet in mind which is estimated to arrive at the end of Q2. Fusion is currently running testnet, PSN. I recommend you check out: Introduction to Pre-Mainnet Fusion & PSN Staking Demystified if you want a status update on PSN.
The Fusion blockchain is utilizing a Ticketed-Proof-of-Stake consensus algroritm which means that anyone owning at least 5000 FSN tokens may participate in keeping the blockchain safe by running a node and earning staking rewards relative to the number of FSN tokens used as stake.
If you do not own enough FSN tokens or for any other reason is unable to run a node there is still an opportunity to earn rewards by letting someone else use your FSN to stake. On some platforms this might be called delegating where they have such an option built in to the consensus else people have had to resort to using private pools to combine their assets to run one node. Fusion solves this once and for all thanks to the innovative function called Time-Lock which enables users to extract time value from any asset issued or locked in on the Fusion blockchain.
The beauty of using Time-Lock instead of pools or any other delegating solution is that it’s completely trustless, you sell the time-locked FSN for a specific duration and get paid the agreed upon rate up front. This means you can use the rewards instantly, no need to wait for a pool operator to pay or not to pay your rewards ever again.
To do this you will head on over to the Quantum Swap interface which is accessed by hitting Swaps from within your MFW (www.myfusionwallet.com). I will only quickly go over the process here and if you are unsure on how the quantum swap process works I recommend you read the more complete guide on quantum swap found here.
From the Quantum Swap interface you have to decide to either make your own swap or take someone elses. We’re going to focus on making your own by going over every option you need to create a swap. Start by hitting the button “Make Swap” and then select and enter all options marked in figure 1.
- Send asset, select the asset you want to send. In this case you choose FSN because that is what you want to delegate staking on.
- Set Time-Lock, this is the magic feature of Fusion that enables you to transfer ownership of any asset for a specific time period. Hit the button.
- Now to Date, implies that you want to send ownership over a time period from now to the selected date. Selecting “Date to Forever” means you send the full ownership to someone else after the selected date, you do NOT want to do this when delegating. Hit “Now to Date”.
- Until, select the date when the time-lock (and in turn delegation) is supposed to end. Keep in mind that ticket length for staking is 30 days and thus the node operator recieving your time-locked FSN cannot utilize them for the last 30 days of Time-Lock so always make the time interval as large as possible (and never below 30 days) to limit the effect of thes 30 days ticket length.
- Recieve Asset, the asset you wish to recieve from the trade. At the time of writing the only real option is EFSN which is ERC20 FSN on the testnet but this will change as more and more assets are added to Fusion’s interoperability solution. Always make sure there is a green checkmark for Fusion Foundation verified assets unless you are sure that whatever you are trading for is supposed to not have one.
- Swap Rate, enter how much you wish to recieve per unit of the asset you are trading for. So if you want 10% ROI for the selected time period you enter 0.1 etc.
- Send Amount, enter how much FSN you wish to put up for delegation.
- Number of Fills, enter how many parts you want the swap to consist of. Essentially this option decide how much the minimum amount any potential taker has to agree to accept the swap. If you enter 1, then the taker will have to do the entire swap or nothing.
- Review Make Swap, hit the button to take to the review page for one last chance to make sure that everything is correct. Take that chance, triple check every option and make sure assets has green checkmarks where applicable.
When you are done just hit “Make Swap” and after next block is validated your swap will appear in the marketplace. As soon as someone accepts your terms and takes your swap you will have the reward in your wallet ready to be spent and the FSN will be returned to you at the date you selected.
Now that you know what all the options are you might want to check out the marketplace before creating your own swap just in case someone is already looking to buy time-locked FSN at a price you would be happy with.
Browse the list of swaps and look for ones with FSN and a time-lock date interval under “Send” (now -> date) and something you would be willing to take in return under “Recieve”, check that the Swap Rate is acceptable and then hit “Take Swap”. Remember to triple check every option before reviewing and taking the swap on the consecutive pages to make sure you are not making any mistake. Please use the checklist posted below at every stage if you are unsure.
Checklist for a safe delegating experience:
[ ] — All assets of the swap have the correct ticker symbols.
[ ] — All assets have green ticks unless I am 100% sure they shouldnt have them
[ ] — Swap rate is correct. (easy to make a mistake if it’s inverted)
[ ] — There is a date interval under send and it’s (now->date) where date is when you want to have the tokens back. There is no date interval under recieve unless you are 100% sure there should be.
[ ] — I have double and triple checked the above four points.
If this guide somehow helped you and you wish to show your gratitude, feel free to do so with som eth/fsn or whatever you want to:
Donations: 0xFaFCd500C32D28d0614052E1742d150e070bDa7d [FSN/ETH]
Even if you dont, the fact that you read all of it makes it all worth it. ❤