What is the difference between Delegating and Staking?

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What is the difference between Delegating and Staking?

1 Answers

The main difference is that delegation earns you ZNN, and staking earns you QSR.

The characteristics of the two options can be explained as follows:

Pillar Delegation (flexible ZNN rewards):
Delegation is the process of voting a pillar to use your ZNN in order to produce momentums. This increases the weight and the rank of a Pillar. In return, Pillars distribute a part of its rewards to the delegators to attract more votes and increase its ranking. They can be viewed as decentralized communities within NoM, where each pillar represents a set of core values and/or provide services to their delegators.

Note: this action neither locks nor transfers the balance of the delegating account. Which means you can freely move around your ZNN.

Delegation APY: up to 20%* (use https://zenon.tools/pillars to find current delegation APRs and pillar uptime)

Delegation requires at least 1 ZNN.

Staking (locked QSR rewards)
Staking ZNN will give you QSR rewards. Your ZNN will to be locked in a smart contract for a predefined amount of time (multiples of 30 days). After the locking period has ended, the staked amount can be refunded without any costs.

QSR is necessary to create Pillars & Sentinels slots. QSR also can be staked to generate additional rewards like Plasma — the asset used as network gas to confer feeless transactions.

Staking APY: up to 24%* (use https://zenon.tools/calculator to find current APR)

Staking requires at least 1 ZNN.

Additional Info:
Starters guide with pictures: https://medium.com/@znnoutlawz/zenon-network-all-in-one-starters-guide-1ba37b29d12e#dcdf

Tip: you can calculate your earnings here: https://zenon.tools/calculator