As more blockchains become connected in the Cosmos ecosystem, interchanging assets will be required for users to interact with different protocols and services. Osmosis provides an interesting solution with an Automated Market Maker (AMM) protocol that is highly customizable.
Frequently Asked Questions
Here are answers to some of the questions our community has asked us. Get in touch if there's more you would like to know.
Osmosis is an advanced AMM protocol built using the Cosmos SDK that will allow developers to design, build, and deploy their own customized AMMs. Osmosis' mainnet has launched in June 2021. To learn more, please read their announcement.
New blocks on Osmosis are proposed by validators. To enable Osmosis to run seamlessly, validators need the technical capabilities to offer a secure, always on infrastructure.
Not everyone is able to do this. Some token holders participate indirectly by delegating the tokens they have to a validator. Validators are running a service for delegators. They typically charge a fee to cover their operational costs.
By delegating OSMO, you help secure the network. You get part of the rewards provided by the protocol for this assistance. If you are planning to hold on to OSMO for some time, delegating will help you accumulate more OSMO while contributing to the health of the network.
You are not giving away ownership of OSMO by delegating. As a validator, stakefish will never have the ability to move your OSMO.
Osmosis penalizes any validator that misses too many blocks or double signs a block by slashing the staked amount on that validator. We have our own capital on the line, so we are fully incentivized to do our best to prevent such events. However, delegators must be aware that this slashing risk will always exist.
We charge 5% from the block rewards received by our delegators. For example, if a delegator receives 100 OSMO as a reward, stakefish will receive 5 OSMO while the delegator will get 95 OSMO.
Undelegating (also called unbonding or unstaking) can be done anytime. However, it takes approximately 28 days for your OSMO to undelegate and become transferable.
If you have any questions about staking or our validator services, please do not hesitate to reach out to us. We are happy to talk with anyone and help navigate community members through this exciting new ecosystem.Get in Touch