---
title: Paxeer Staking Guide
sidebarTitle: Staking
description: >-
  Learn how staking works on Paxeer, including delegation, un-delegation,
  re-delegation, bonding, and jailing within the dPoS consensus system.
keywords:
  - paxeer staking
  - blockchain staking
  - proof of stake
  - delegation
  - validator nodes
  - staking rewards
---

> **For AI agents:** the complete documentation index is at [llms.txt](/llms.txt). Append `.md` to any page URL for its markdown version.

Staking is a fundamental aspect of Paxeer, enabling network security and
consensus through a delegated proof-of-stake (dPoS) mechanism powered by Twin
Turbo Consensus and the machineRFT engine. By participating in staking, both
validators and delegators play a critical role in maintaining and securing the
network, ensuring its long-term stability, performance, and success. PoS chains
rely on staked economic value rather than computational power, leading to a more
energy-efficient and scalable system. Engaging in staking allows developers and
users to contribute to the health and growth of the Paxeer ecosystem and
participate in [governance](/learn/general-governance) decisions by voting on
proposals.

In a dPoS system, token holders secure the network by delegating their tokens to
validators. Validators produce new blocks and validate transactions. In return
for their support, delegators earn a portion of the staking rewards. A
validator's weight is based on the number of tokens delegated to them plus their
own stake.

The Paxeer protocol incentivizes validators and delegators with staking rewards
from gas and genesis token unlocks. All rewards are distributed to delegators
proportional to their delegation, and the validator keeps a percentage of this
as commission.

## How to Stake

Staking on Paxeer can be done via the `paxd` CLI or through API calls.

- **paxd CLI**: `paxd tx staking [command] [flags]`
- **REST/RPC**: `GET/POST /staking/*`

## Key Concepts

### Delegation

Delegating tokens to a validator allows you to earn a portion of the staking
rewards. By delegating, you add to the validator's total stake, which helps
secure the network.

### Delegators

Delegators are users who stake their PAX tokens to a validator, contributing to
the validator's total stake. Delegators earn a portion of the transaction fees
as staking rewards. Staked PAX remains under the control of the delegator and
cannot be traded freely during the staking period.

### Un-delegation

Un-delegation is the process of withdrawing your staked tokens. This involves a
21-day un-bonding period during which the tokens are not earning rewards and
cannot be transferred. After the un-bonding period, the tokens are returned to
your wallet and are available for transactions.

### Re-delegation

Re-delegation allows you to move staked tokens from one validator to another
without undergoing the un-bonding period. When re-delegating, the tokens are
instantly moved, but the new validator is barred from further re-delegations for
21 days to ensure stability and prevent abuse. Each account can re-delegate a
maximum of 7 times simultaneously, with a re-delegation not considered complete
until the 21-day period is up.

### Bonding

Bonding is the process of committing your PAX tokens to a validator. This can be
done through delegation. The tokens are locked and contribute to the validator's
stake, starting to earn rewards immediately.

### Un-Bonding

Delegators can un-bond or un-stake their PAX tokens, initiating a 21-day period
during which the tokens do not earn rewards and cannot be transferred. After
this period, the tokens return to the delegator's wallet and become available
for transactions. Users can re-delegate to another validator instantly without
waiting for the un-bonding period to end.

### Jailing

To ensure network uptime and overall security, validators must meet strict
standards and consistently participate in the consensus process. Jailing can
occur if these standards are not met. Jailed validators are excluded from
participating in consensus for a period and will not generate rewards during
this time.

<Info>
  When a validator misbehaves and gets jailed, users can still perform all staking operations including claiming rewards, delegating, and undelegating from that validator. Note that misbehaviors are currently not penalized in the system, so there are no slashing consequences for validator misconduct.
</Info>

### Slashing

There is no slashing of funds on Paxeer.

## Common Questions

### How are staking rewards calculated?

Staking rewards are calculated based on the total amount of PAX staked and the validator's performance. Rewards are distributed proportionally to the amount staked by each delegator.

For more details, see [Delegators](#delegators).

### Can I change my validator without un-bonding?

Yes, you can use the re-delegation feature to move your stake from one validator to another without waiting for the un-bonding period to end.

For more details, see [Re-delegation](#re-delegation).