# Node Staking

Staking is how Vola Network ensures that node operators have skin in the game. Before a node can participate in the network; whether producing blocks or storing files, node operators must lock certain amount of $VOLA as collateral. This stake is returned when the node is retired.

This page covers the staking mechanics for both Validation Nodes and Vola Smart Nodes in detail.

{% hint style="success" icon="dove" %}
**Staking is not a cost, it's a deposit.**\
Your staked $VOLA is locked, not spent. It is returned to you when you exit the network.
{% endhint %}

### Validator Staking

Validators self-bond $VOLA directly to their stash account. There is no delegation or nomination, the full staking requirement must be met by the operator themselves.

<table><thead><tr><th width="249.5555419921875">Parameter</th><th>Details</th></tr></thead><tbody><tr><td><strong>Minimum Bond</strong></td><td>50,000 $VOLA</td></tr><tr><td><strong>Maximum Bond</strong></td><td>100,000 $VOLA</td></tr><tr><td><strong>Staking Method</strong></td><td>Self-stakeonly, no delegation</td></tr><tr><td><strong>When Active</strong></td><td>Eligible from the next era after bonding</td></tr><tr><td><strong>Bonding Duration</strong></td><td>7 eras ≈ 49 hours after unbonding</td></tr><tr><td><strong>Reward Rate</strong></td><td>5% APY base + transaction fees</td></tr></tbody></table>

### **VSN (Storage) Staking**

Storage Node staking is dynamic, the amount required scales with the storage capacity you commit to the network. The more storage you offer, the more you stake.

<table><thead><tr><th width="237.333251953125">Parameter</th><th>Details</th></tr></thead><tbody><tr><td><strong>Minimum Commitment</strong></td><td>100 GiB</td></tr><tr><td><strong>Stake Calculation</strong></td><td>Based on storage capacity (see formula below)</td></tr><tr><td><strong>Staking Method</strong></td><td>Operator stake + optional delegator stake</td></tr><tr><td><strong>When Active</strong></td><td>Immediately upon placing operator stake</td></tr><tr><td><strong>Unstake Lock Period</strong></td><td>≈ 4 months for delegators</td></tr><tr><td><strong>Node Key Funding</strong></td><td>Minimum 1 $VOLA transferred to node key on registration</td></tr></tbody></table>

#### Storage Node Staking Formula

The stake required for a Storage Node is not a flat amount, it is calculated based on the storage capacity you declare, using the following formula:

$$
y = \left(400x - 100x \cdot \frac{1}{1+e^{-(x-10)}} + 150x \cdot \frac{1}{1+e^{-(x-43)}}\right) \times \frac{1}{P}
$$

Where:

* **y** = required stake in $VOLA
* **x** = storage capacity committed in TB
* P = price of $VOLA in USD

{% hint style="warning" icon="pen-clip" %}
**Formula for testnet staking only.**\
This formula may be subject to change before mainnet.
{% endhint %}

**Example Values:**

| Storage Committed  | Approx. Stake Required (1 $VOLA = $1) |
| ------------------ | ------------------------------------- |
| 100 GiB (\~0.1 TB) | \~40 $VOLA                            |
| 1 TB               | \~400 $VOLA                           |
| 5 TB               | \~1,750 $VOLA                         |
| 10 TB              | \~3,000 $VOLA                         |
| 40 TB              | \~16,000 $VOLA                        |

{% hint style="info" icon="dove" %}
**These are approximations.**\
The exact amount is calculated on-chain at registration time based on the formula above. Use these figures for planning purposes only.
{% endhint %}

### Slashing

Slashing is the mechanism by which a node's rewards are reduced as a penalty for poor performance or misbehaviour.

**Slashing mechanics and formulas are currently being finalized and will be made public pre-mainnet.**


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