BlockBeats News, February 2nd, ZAMA officially released an article introducing its network staking mechanism. Reportedly, the Zama protocol adopts a Delegated Proof of Stake (DPoS) mechanism. Users and participants can delegate their ZAMA tokens to operators responsible for running the infrastructure. There are currently 18 active operators: including 13 Key Management Service (KMS) nodes and 5 Fully Homomorphic Encryption (FHE) co-processors.
Staking rewards come from the protocol’s inflation mechanism, with the annual inflation rate set at 5% of the total ZAMA supply (initial value), 60% allocated to KMS operators and their delegators, and 40% allocated to co-processor operators and their delegators. Rewards are distributed based on the square root of each operator’s total stake. This means that delegating to smaller operators will receive higher returns compared to delegating to larger operators, thus incentivizing network decentralization.
Operators will deduct a certain percentage of commission (up to 20%) before distributing rewards to delegators. The remaining portion is proportionally distributed to all delegators. Unstaking requires a 7-day unbonding period. Users can also directly transfer or sell liquid staking vouchers without waiting.
