Original testnet participant and WorkLock supporter.
Serving many of NuCypher’s early investors.
Figment is a venture funded, registered Canadian company, based in Toronto. Canada offers stability, rule of law and clear crypto regulation.
Figment Prime and discounts available for large token holders. Contact us for more information.
Active participant in the NuCypher ecosystem.
The world’s most advanced physical IDC + multi-cloud staking infrastructure.
You maintain custody of your NU at all times.
Third-party custody solutions are available through our institutional partners. Contact us for more information.
Protected via industry-leading Delegation Agreement.
If you are looking for staking strategies, this is our guide.
In order to stake NU, you must have a dedicated worker node to bond to with your staked NU. You can run a worker node yourself, or you can choose a provider such as Figment.
Wind down – this begins the unlock countdown–as your stake gets closer to being liquid, your maximum potential rewards decrease. Until “wind down” is turned on, the clock that you set for unlocking your stake will not begin.
Restaking – this causes new rewards to automatically be added to your locked up stake. Your rewards will now compound, and they won’t be liquid until 1) you “wind down” your stake and 2) the unlock period of eg. 180 days passes. This will increase the rate that your ETH is unlocked marginally.
Substake dividing – you can portion your stake to prolong parts of it to have longer unlock periods, earning you more rewards and speeding up the release of your ETH.
Contact us if you would like to stake your NU with a NuCypher work node run by Figment.
Please see our comprehensive guide on fiat to crypto on-ramps for all staking tokens.View Guide
NuCypher is a cryptographic infrastructure for privacy preserving protocols and applications. Their Key Management System (KMS) plans to address the current limitations that consensus networks have securely storing/sending/manipulating private and encrypted data.
The NuCypher team is led by CEO and co-founder MacLane Wilkison, and CTO and co-founder Michael Egorov.
They plan to use a proxy re-encryption scheme, which will allow encrypted data to be sent across their network without having access to anyone’s private key.
The NuCypher token (NU) functions as a security deposit on the network, and will not be used to pay for services on the network. Fees are paid to workers in Ethereum (ETH), and worker nodes will also be rewarded in NU for being online.
NuCypher's KMS is intended to address the current limitations that consensus networks have securely storing/sending/manipulating private and encrypted data.
Figment will be supporting the NuCypher mainnet and will provide nodes for those interested in participating in the Worklock.
On February 20th, 2020, Maclane Wilkison (CEO), and Michael Egorov (CTO) joined us to answer our NuCypher staking questions.
On September 17th, we spoke with CEO MacLane Wilkison and Cryptography Engineer John Pacific (Tux) of NuCypher.
If you deposit ETH into the NuCypher WorkLock, you can get your ETH back and earn a sizeable portion of...
Trying to wrap your head around staking NU on NuCypher? It's easier than you think. Here are some simple strategies...
In short: both are currently enabled.
NU rewards and transfers began on Oct 14, 2020. However, the vast majority of NU must vest before unlocking.
NuCypher’s native token, NU, is used to stake and will be used to participate in DAO governance.
You can use locked/vesting NU to stake.
What you can earn depends upon 1) how much of the token supply is staked and 2) how long you elect to stake for.
For the first five years, a yearly maximum of 366M in newly-circulating NU tokens will be distributed to stakers, in addition to the ETH-based revenue that the network generates in usage fees. If more of the supply is staked, there will be a smaller proportion of rewards for each staker.
If 70% of the supply is staked, the maximum a staker will earn is ~52.3% in annual rewards (with restaking turned on, “wind down” turned off, and the staking period set to one year). However, if the staker selects a staking period of 180 days, the maximum yearly reward rate will be cut in half: ~26%. Another staker may choose to “wind down” their stake with a 180-day staking period, which will linearly decrease the annual 26% reward rate each day until there is no reward on the day that the stake unlocks.
You can self-custody your NuCypher NU tokens, ideally using a Ledger hardware wallet.
Figment has partnerships with a number of top-in-class custodians: firstname.lastname@example.org
The NuCypher protocol takes control of your NU tokens while you are staking. If you “wind down” your stake, this process will take whatever number of days that you have committed to (eg. 180 days) before the protocol returns your NU tokens to you. While your NU are staked, you may participate in DAO governance by voting on different proposals.
Rewards become liquid at the end of your selected lockup period, and this process begins only once you have sent the transaction to “wind down.”
In short: a negligible amount can be slashed initially (and TBD via DAO governance)
A NuCypher worker node can be slashed, but at a rate so minute that it’s monetarily irrelevant (while still being trackable). Having these data points will enable the NuCypher community to use the NyCypher DAO to set an appropriate slashing policy in future.
Yes: if your worker node fails to perform or to be online
On offline node will miss rewards for the period that it didn’t make a successful commitment transaction. And if “winding down,” its remaining duration will be extended by 1 day.
In short: a maximum of 366M NU will be minted and added to the initial 1B circulation by the end of Year 1.
NuCypher will ultimately approach a maximum supply of ~3.885 billion tokens.
When the network launched on October 14, 2020, there were 1B tokens in circulation. A maximum of 366M NU will be distributed to staking nodes each year until Year 5 (Day 1825), at which point the NU reward distribution rate will begin exponentially decaying at a half-life of 2 years, forever approaching the maximum of ~3.885 billion NU.
This reward subsidy is used to reward staking nodes for being available to perform work on the NuCypher network. You can read more about NuCypher’s staking economics in detail here.