Staking
What is Staking?
Staking on Botanix is the process of locking up your Bitcoin to help secure the network and participate in consensus. Unlike traditional Bitcoin, which doesn't offer native staking, Botanix enables Bitcoin holders to earn rewards by contributing to network security through the Spiderchain's Proof-of-Stake consensus mechanism.
Think of staking as putting your Bitcoin to work—instead of just holding it, your Bitcoin actively helps secure the network while earning you additional Bitcoin rewards.
How Staking Works on Botanix
The Staking Process
Lock Bitcoin: You commit your Bitcoin as stake to participate in network security
Validation Rights: Your stake gives you the right to participate in consensus and validate transactions
Earn Rewards: You receive Bitcoin rewards for honest participation in securing the network
Risk/Reward: Your stake can be slashed (partially or fully lost) for malicious behavior
Bitcoin-Native Staking
Unlike other networks that require you to buy separate tokens:
Stake with Bitcoin: Use your actual Bitcoin as collateral
Earn Bitcoin: Rewards are paid in Bitcoin, not other tokens
Maintain Exposure: Keep your Bitcoin exposure while earning yield
Why Stake on Botanix?
Earn Bitcoin Yield
For the first time, Bitcoin holders can earn native yield on their holdings:
Passive Income: Generate Bitcoin rewards without selling your position
Compound Growth: Reinvest rewards to increase your stake over time
Bitcoin Denominated: No exposure to other tokens or currencies
Support Network Security
Your staked Bitcoin directly contributes to Botanix's security:
Consensus Participation: Help validate transactions and create blocks
Economic Security: Your stake adds to the total economic security of the network
Decentralization: More stakers means a more decentralized and resilient network
Staking Phases
Current Phase: Federated, no Staking
Selected Operators: Current Orchestrators are pre-selected for network stability
No Staking: Staking is not required yet for selected node operators
Future: Permissionless
Open Participation: Anyone can stake Bitcoin and participate in consensus
Full Decentralization: Transition to truly permissionless network participation
Key Takeaways
Bitcoin-native staking enables yield generation without leaving the Bitcoin ecosystem
Network security benefits from increased economic participation
Aligned incentives ensure stakers and network interests are aligned
Future implementation will transition from federated to permissionless participation
Multiple participation options will accommodate different risk profiles and technical capabilities
Staking represents a fundamental evolution in Bitcoin's utility—transforming it from purely a store of value into a productive asset that generates yield while securing the next generation of Bitcoin-based financial applications.
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