What is Staking?

Governance is a key aspect of the Enjin Blockchain, a Proof-of-Stake (PoS) blockchain. It involves users participating in the network's operations by "staking" or locking up their Enjin Coins (ENJ). Staking allows the network to validate transactions, secure the blockchain, and produce new blocks.

Individual users play an important role in validator oversight. They will be able to participate in governance by joining nomination pools, which are blockchain entities that enable users to contribute their tokens to the network. These pools select nodes (and stake the pooled ENJ toward these nodes) to become active validators for creating new blocks. Validators that produce valid blocks receive rewards in the form of ENJ tokens, which are then distributed among the users who staked their ENJ in the corresponding pool.

This process of participation within the Enjin Blockchain ecosystem is a way for ENJ holders to participate in validator oversight, thereby keeping the network secure.

How to Join a Nomination Pool?

First, you need the Enjin Wallet app installed on your device. If you don't have it yet, you can download it here.

❓ To join a nomination pool, your tokens must be ENJ tokens on the Enjin Blockchain.
If you still hold ERC-20 ENJ tokens, you will need to migrate them first, following the steps here: How to migrate ERC20 ENJ / EFI tokens to Native ENJ.

Begin by launching the Enjin Wallet app and selecting the Stake option from the bottom menu, followed by tapping the Continue button.

To contribute your ENJ tokens to a pre-selected nomination pool, simply press the Stake Now button. However, if you prefer to view all the available pools, tap on the View Pools button and choose the pool that best suits your needs.

Staking takes part on the Enjin Relaychain network.
If your ENJ tokens are currently held on the Enjin Matrixchain network, you first need to Teleport the tokens from Enjin Matrixchain to Enjin Relaychain.

❓ For more information on teleporting, check out Teleporting on Enjin wallet.

Next, decide on the amount of ENJ tokens you wish to stake.
You can enter this amount manually or tap the MAX button to stake all available tokens in your wallet.
Once you've confirmed the amount, tap the Continue button.

Give your staking settings one final review. Make sure everything is as you want it to be.
When you're satisfied with your selections, tap the Stake button to finalize the process and stake your ENJ tokens.

Nomination Pool Offers

Offers in Enjin staking pools are unique transactions or proposals that allow participants to exchange their stake at a decided rate. Unlike traditional staking, where the exchange rate is typically fixed (1 ENJ:1 sENJ), Offers allow users to set their own exchange rate. This flexibility can lead to a variety of strategic opportunities, depending on how the participants would like to utilize it. 

Creating an offer can have several advantages:

• Instant Withdrawal: If user needs to access their staked ENJ tokens quickly, accepting an offer will bypass the normal unbonding period (which takes 28 days).
• Strategic Positioning: Offers allow participants to position themselves in pools with higher reward rate. If a certain slot is full, a user can create an offer to potentially "snipe" a slot in that pool.
• Premium Exchange: Users can create offers with a higher exchange rate (up to *1.22 ENJ), providing an incentive for others to accept the offer. In doing so, both parties benefit: the offer creator can quickly withdraw their stake, and the acceptor receives a greater amount of tokens.

Creating Offers
1. On your Enjin Wallet app's staking dashboard, click View Pools.
2. Select a pool and click Offer.
3. Decide on the exchange rate to be set. The default rate is set to 1 but can be set to lower or higher with *1.23 ENJ as the maximum limit. User may also choose to select the most competitive rate by selecting the Match button.
4. Validate the details of your offer and click Continue. Note that the placed amount on your offer will be reserved until accepted or cancelled.
5. Track your offer on the Offers Made section of the Staking Dashboard. The Cancel button is also present beside the offer details.

Accepting Offers

Accepting an offer means you are about to withdraw or exit your staked ENJ from the current pool you belong to. 
1. On the Enjin Wallet's Staking Dashboard, go to the Your Stakes section and select the pool you wish to withdraw your sENJ from.
2. From the Pool Overview screen, click Withdraw.
3. On the Release Stake screen, enter the amount you would like to withdraw or simply select the Max button if withdrawing the entire amount.
4. Click Verify to proceed validating your withdrawal details. Once satisfied, select the Release Stake button.
5. Congratulations! Your stake is now successfully released and the ENJ amount shall be credited shortly. Click View Details to check the transaction trail.

Frequently Asked Questions:

Before contributing to a nomination pool, make sure to DYOR (do your own research) especially on the validators nominated by your chosen pool (since slashing is possible for misbehaving validators). Reviewing the performance of validators you choose through a nomination pool maintains the integrity of validator oversight. Further, given that holders may use an application or interface to interact with Enjin Blockchain staking instead of interacting directly with the chain, holders must assess the integrity and security of these applications and interfaces as these are separate from Enjin Blockchain.