By now, you’ve probably read up about our Mainnet launch and why it’s so important to our company and technology, and the blockchain community as a whole. It’s a massive milestone for us, and we are extremely proud of what we’ve built.
We wanted to provide a little more info about staking and validating, as SHIP staking is crucial to the fullest and most decentralized functionality of the network. In this blog post, we will explain its importance and provide you with the necessary tools to become a ShipChain network validator.
Delegated Proof of Stake (DPoS) for the ShipChain Network
ShipChain uses a DPoS consensus mechanism in order to secure the blockchain network. DPoS uses voting and elections to keep the network decentralized, secure, and off-limits to hackers. Additionally, it is a lot faster and more energy-efficient than other alternatives like Proof of Work.
For DPoS to function properly, all you need is a cryptocurrency, a blockchain, a community of people, computers, and rules, as per Hackernoon.
Currently, several high-performance validator nodes are helping to secure the ShipChain network. The users of the network help choose the validators they want to run the network. They do this by “staking” or “delegating” their SHIP tokens to validators — that is, the users give validators their support by proxying their tokens to their preferred validators.
Any SHIP token holder can choose which validators it wishes to support, and you can see a full list of validators here.
Staking is critical to securing a DPoS network. By staking your SHIP tokens, you can help choose the most reliable and high-performance validators and ensure the strongest possible security and performance for ShipChain. The more people who stake and actively contribute, the more decentralized and secure the chain.
If a validator stops performing well and is no longer securing the network, the community can remove their votes. Voting is ongoing, and the top validators are subject to change. Vote strength is also directly correlated with how many tokens you hold. The more tokens you have, the greater your influence on the network.
Additionally, those who stake SHIP tokens in support of a validator participate in the SHIP token rewards earned by that validator. For information about rewards can be found here as well.
How this Benefits ShipChain Inc.
With this launch, ShipChain Inc. has full functionality and the capabilities to support the largest enterprises in the world. We can process transactions for corporations of any size faster, more efficiently, and without any restrictions.
So ultimately, while the Mainnet launch is hugely beneficial to ShipChain as both the company and the broader community of stakeholders in our ecosystem, it really helps just about anyone that chooses to build on the ShipChain network. Building on top of ShipChain rather than directly on the Ethereum blockchain allows developers to benefit from ShipChain’s no-gas and high throughput. Additionally, the 10K SHIP token fee that developers must pay to be able to deploy contracts to our network goes into the reward pool for the validators, thus helping to maintain the network.
And lastly, we designed our platform and community to outlive all of us. The decentralized modular ecosystem was built so that unlike other SaaS or cloud platforms, it could go beyond the team that put it together, and solve a variety of problems in the logistics world. We have seen the emergence of a lot of private blockchain platforms over the years, but in truth, those are only further fragmenting the industry, as only some players are able to access whatever is on the blockchain, and some profit-seeking entity still owns that data. We knew that in order to truly create trust in the industry and bring change, the only option was a public blockchain platform that would survive and thrive long past ShipChain. So yes, the launch has been huge for us, but more importantly, it has been a massive leap forward for the public blockchain community as a whole.
To learn how to host a validation server or as a non-validating node, and to learn how those services are compensated, click here.
For more information about how to delegate (stake) SHIP tokens to assist in securing the network and to learn how that service is compensated, visit the validation and delegation dashboard here to see the list of active validators, to manage an account, to stake your SHIP tokens, and to connect with Web3 wallets.
And on a parting note, we hope that we were able to provide you with a bit more context and a better understanding of why staking is such a core part of the network. If you have any questions, please reach out to us at email@example.com.