How to Stake SafeCoin ($SAFE)
This guide contains detailed steps on how you can stake your SAFE coins and earn rewards.
SafeCoin is a Proof-of-Stake-based blockchain network that offers fast and secure transactions. SafeCoin is a community version of Solana and therefore shares a lot of technologies with Solana. So do both platforms support building crypto applications that can scale. Solana and SafeCoin share a new consensus method called Proof of History (PoH) to verify transactions that help it to process 65k+ transactions per second. The SafeCoin platform has a native Coin named SAFE that is used to pay the network transaction fee.
Since SafeCoin is a Proof-of-Stake (PoS) network, that means the network operations are supported by a group of validators. SAFE coin holders can delegate their SAFE coins to one or more validators who help validate transactions on the network. In this article, we will be diving deeper into how to stake your SAFE coins to a validator to earn rewards.
At this moment in time, there are not a lot of wallets supporting SafeCoin staking. Therefore we recommend using the official SafeCoin web wallet.
SafeCoin web wallet
The SafeCoin web wallet is a simple and non-custodial wallet created specifically for SafeCoin. Allowing users to connect with the network, and manage their SAFE coins. The wallet private key is only stored on the user's current computer or device. A 24-word seed phrase is used to recover the wallet in case that the browser’s storage is cleared or the device is damaged or lost.
Creating a wallet
To use the SafeCoin web wallet go to this page. The wallet should automatically generate a 24-word recovery phrase. Make sure to write these words down and store them in a safe and secure place. Note that if you lose these words your wallet cannot be restored and your funds will be lost.
After you have written down your recovery phrase, hit the checkbox and click on Continue. The application will now prompt you to create a password. I recommend creating a secure password using a password generator. The password is only used when interacting with the wallet and is not needed when restoring the wallet. So in the event that you have forgotten your password you can always restore your wallet using the 24 recovery words.
After entering a secure password click the Create Wallet button. You will be directed to the wallet landing page. The wallet landing page should look like this.
To get SAFE in your SafeCoin wallet we need to purchase some on an exchange. Currently, the best place to purchase SAFE is through Safe.Trade. You can find my guide on how to buy SafeCoin here. Once you have purchased some SAFE, go to your wallet tab and click on withdraw. Now get your wallet address from the SafeCoin wallet by clicking on the address, then click the receive button and then copy the address.
Next, enter your wallet address on Safe.Trade and withdraw your SAFE. The withdrawal should take a couple of minutes to go through.
Now that you have received your SAFE we will need to create a stake account. To create a stake account go to stake.safecoin.org and click on use SafeStake.
Next we will need to connect our wallet to the SafeStake website. To connect our wallet click on the Connect Wallet button and click SAFE WebWallet.
Next, a popup should appear asking you to confirm the connection. Click on Connect to connect your wallet with the SafeStake website.
Creating a stake account
Now that your wallet is connected with the SafeStake website it is time to create a stake account. To create a stake account, click the Create Stake Account button.
Next enter the amount of Safe you want to stake in your account. I recommend not entering your entire balance as you will need some SAFE to pay for fees. As I have 51 SAFE in my wallet I am going to put 50 SAFE into my stake account. Simply enter the amount and click on Create.
Next you will get a popup asking you to confirm the transaction. Click on Approve.
Delegating your stake
Now that you have created a stake account you will need to find a validator to delegate your stake to in order to start receiving rewards. If you want to delegate your stake to multiple validators you will need to create multiple stake accounts as the amount of SAFE in a stake account can only be delegated to a single validator. On the SafeStake website you will see your new Stake account.
Next is finding a validator to delegate your stake too. For this click on the Delegate button, a list of validators should appear on the screen. Please consider staking to my validator to not only help decentralize the SafeCoin ecosystem but also support me in writing more articles featuring all there is to know about the SafeCoin ecosystem. In the list search for the validator with the name “Martin” and the profile picture as seen below.
Select the validator you like and click on Delegate. A popup will appear asking you to confirm your delegation. Click on Approve to confirm your delegation.
Now that you have delegated your stake you will start receiving rewards after the next epoch. At the top of the SafeStake site, you can see when the epoch ends.
Undelegate and Withdraw
At any time you can remove your delegated coins from a validator. To remove delegation, first, select the staking account from where you wish to undelegate, and then click on the Undelegate button. Once you opt to Undelegate, the tokens will be moved to the deactivating, or cooling down status. When the deactivating status changes to inactive at the end of the epoch, users can then withdraw the funds from their staking account. The withdrawn funds will be added to your current normal wallet balance.
Staking/delegating allows users to delegate their SAFE coins to the network validators who run and maintain the network operation. Through delegating, coins holders can participate and help in network activities along with earning an additional income.
If you have found this article useful please consider donating and staking to our validator. Otherwise, consider reading one of my other articles.
SAFE Donation Address: 3aHEKicGmWiTgcNifFkJjpJ3BCxgf5AqFnJrJfYqJUax
SafeCoin validator ID: 9UzheMmVr1eLAjFiwaYftTNrC8JTGSJKi7SBiCwfgC7H
SafeCoin Validator Name: “Martin”