Astar Network continues to lead as the highest-valued parachain within the Polkadot ecosystem. With its multi-VM architecture, it supports both WebAssembly (WASM) and Ethereum Virtual Machine (EVM) environments, and is also developing an Ethereum Layer 2 solution in collaboration with Polygon โ the Astar zkEVM.
The platform is particularly influential in Japan and South Korea, partnering with enterprises, municipal governments, and even Sony to foster blockchain adoption. Its ecosystem is rich with DeFi, NFT, and GameFi applications.
The newly launched Tokenomics 2.0 update introduces a more sustainable economic model through reduced inflation and burn mechanisms. Accompanying this update is dApp Staking V3, which reshapes how developers are incentivized and how stakers earn rewards.
What Is Astar Network?
Astar Network is a smart contract platform that enables developers to build and deploy decentralized applications (dApps). Like Ethereum or Solana, it serves as a foundational Layer 1 blockchain.
It stands out by supporting multiple virtual machines, making it accessible to developers from both the Ethereum and Polkadot ecosystems. The native token, ASTR, has seen significant growth recently, reflecting increasing investor and user interest.
Key Features of Astar Network
- Multi-VM Support: Compatible with EVM and WASM, broadening its developer base.
- Cross-Chain Deployment: Functions within Polkadot, Ethereum, and Cosmos ecosystems.
- Ethereum L2 Solution: Astar zkEVM, built with Polygon, is nearing launch.
- dApp Staking: A unique "Build to Earn" model that rewards developers based on community support.
- Shared Polkadot Security: As a parachain, it benefits from the shared security of the Polkadot Relay Chain.
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Understanding dApp Staking V3
The updated dApp staking mechanism is designed to be more rewarding, sustainable, and competitive.
Expected Impact of V3
- Greater Sustainability: Higher overall staking rewards are paired with a new dynamic adjustment mechanism and the burning of unclaimed rewards.
- A Level Playing Field: A new voting period that resets regularly prevents older projects from having an permanent advantage, allowing new dApps to compete fairly.
- Incentives for Active Development: A tiered reward system significantly benefits dApps that actively maintain and market their projects.
- Increased User Participation: Stakers must actively re-delegate their votes each period to maximize rewards, encouraging continuous engagement with the ecosystem.
In summary, dApp Staking V3 promotes a healthier, more competitive, and participatory ecosystem for both developers and stakers.
How to Stake ASTR on dApp Staking V3
Follow this step-by-step guide to stake your ASTR tokens.
- Access the Portal: Visit the official Astar portal.
- Connect Your Wallet: Support is available for both Polkadot-native wallets (like Talisman or SubWallet) and EVM wallets (like MetaMask). Ensure your tokens are in the correct network.
- Navigate to dApp Staking: After connecting, select the "dApp Staking" tab from the menu.
Understand the Cycles:
- Voting Period (11 eras): Lasts ~11 days. You vote for your preferred dApp but do not earn staking rewards during this time.
- Staking Period (111 eras): Lasts ~111 days. This is the "Build & Earn" phase where stakers and developers earn rewards.
- Cast Your Vote: Click "Vote / Stake today". Select a dApp from the list and commit a minimum of 500 ASTR. Remember to leave at least 10 ASTR in your wallet for transaction fees.
- Manage Your Stake: You can view, restake, unstake, or change your vote from the "Assets" section. Changing your vote is instant, but unstaking requires a 10-era (~10 day) unbonding period.
Crucial Note: Simply locking your tokens is not enough. You must actively vote to qualify for rewards. Rewards are reset at the end of each cycle, requiring you to vote again to continue earning.
dApp Staking: V2 vs. V3
The core idea of dApp Staking is to allow stakers to support projects while earning yield. A portion of the inflation rewards is distributed to dApp developers based on the amount of ASTR staked on their project, creating a "Build to Earn" model.
Key Changes in V3:
Tiered Reward System: The number of dApp slots is now dynamic and tied to the ASTR token price. These slots are divided into four tiers:
- Tier 1: 5% of slots, receives 25% of the total reward pool.
- Tier 2: 20% of slots, receives 47% of the pool.
- Tier 3: 30% of slots, receives 25% of the pool.
- Tier 4: 45% of slots, receives only 3% of the pool.
- Regular Resets: The voting tally is reset every cycle (~122 days), preventing any single dApp from maintaining dominance without ongoing community support.
This system creates massive incentive gaps between tiers. A Tier 1 dApp can earn roughly 6x more than a Tier 3 dApp and 75x more than a Tier 4 dApp. This intense competition pushes dApps to actively market themselves and often offer bonus rewards to attract stakers.
Tokenomics 2.0: A More Sustainable Model
The updated tokenomics focus on long-term viability through three primary mechanisms:
- Reduced Inflation: The annual inflation rate has been lowered from 9.5% to approximately 5.8%.
- Adjusted Fee Structure: Transaction fee calculations between WASM and EVM have been standardized, leading to more consistent and predictable earnings for collators.
Burn Mechanisms:
- 80% of all transaction fees are burned; the remaining 20% goes to collators.
- Unclaimed staking rewards and unallocated dApp rewards (e.g., from unused slots in a tier) are also burned.
These changes reduce sell pressure from inflation and introduce deflationary forces that could make ASTR scarcer as network activity increases.
A Look at the Astar Ecosystem
The dApp Staking portal lists over 65 active projects, primarily falling into these categories:
- DeFi: Lending, borrowing, and trading protocols.
- NFTs: Marketplaces and projects with real-world utility, especially from Japanese partnerships.
- GameFi: Play-to-Earn games, with potential for growth following the Sony collaboration.
- Infrastructure: Wallets, developer tools, and domain services.
While NFTs and DeFi currently dominate, the network's TVL indicates significant room for growth, making it an ecosystem to watch.
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Frequently Asked Questions (FAQ)
Q: What is the minimum amount of ASTR required to stake?
A: The minimum staking amount is 500 ASTR tokens.
Q: How long does it take to unstake my tokens?
A: There is a 10-era unbonding period, which is approximately 10 days.
Q: What is the current staking yield?
A: The yield is variable and depends on the total amount staked in the network. It typically averages around 10% APR.
Q: How often are staking rewards distributed?
A: Rewards are generated at the end of each era (about 24 hours). You can claim them after each era, but it is often more gas-efficient to claim them less frequently.
Q: Does the dApp I choose affect my base staking reward?
A: No, your base staking reward is not affected. However, some dApps offer additional bonus rewards from their share to attract stakers.
Q: What is the main difference for stakers between V2 and V3?
A: The key differences are the introduction of a mandatory voting period and the requirement to re-stake your tokens every cycle (~122 days) to continue earning rewards.
Q: Is there a hands-off ("lazy") staking option?
A: Yes, you can use Liquid Staking Derivatives (LSD) protocols like Algem or Bifrost. These platforms handle the active management of your stake in exchange for a liquid staking token that you can use elsewhere in DeFi.