Cosmos staking

You can use the Fireblocks Console or the Fireblocks API to stake Cosmos tokens through one of our third-party staking providers. These third-party providers also set up and operate the validators for staked Cosmos tokens. You can stake Cosmos tokens via the Console or the Fireblocks API.

Staking lifecycle

Staked Cosmos tokens become eligible to accrue rewards immediately. You can claim rewards at any time and receive them in the vault account you used for staking. Rewards are claimed upon performing any staking action (stake or withdraw). You can see the balance of your staked Cosmos tokens on the Staking page.

You cannot use your Cosmos tokens while they are staked. When you want to use your staked Cosmos tokens, you must first withdraw the tokens and wait for the lock-up period (also known as the cooldown period) to expire. The lock-up period typically lasts about 7-21 days (AXL: 7 days, Osmosis: 14 days, ATOM, and most other Cosmos chains: 21 days). 

Transaction fees apply to both staking and withdrawing. Fees are paid in the token’s native token (Cosmos Hub: ATOM, Osmosis: OSMO, Axelar: AXL). 

Policy rules for staking

To allow users to stake, you must create Policy rules to govern the transactions necessary for staking Cosmos tokens.

Stake rules

You can set up rule parameters for staking transactions similar to configuring rules for other types of transactions. Simply use the Stake operation type when creating staking policy.

Keep the following in mind when configuring a staking Policy:

• Rules apply to all staking transactions: staking and withdrawing.
• You must create a Policy rule with your validator addresses as the destination.
  • When creating the rule, go to Destination > Staking destinations and select the appropriate validator addresses. You can create a rule that governs all staking destinations or specific ones.
  • If you do not see the list of staking destinations when creating your Policy rules, contact Fireblocks Support. After they enable the list in your workspace, you can create a new staking rule using the staking destinations from the list.

Staking in the Fireblocks Console

Before you can stake Cosmos tokens using the Console, you must add funds to a Cosmos wallet and create the appropriate Policy rules for staking. 

To stake your Cosmos tokens:

1. On the Staking page, select your desired Cosmos token icon and then select Stake.
2. Select the vault account to use for staking.
3. Enter the amount to stake and the fee for the transaction.
4. Select a validator. If selecting a validator for the first time, accept the staking provider’s terms and conditions.
5. Sign the staking transaction using your mobile device.
6. After the transaction is confirmed on the blockchain, your funds are staked, removed from your balance, and are no longer available for other actions. Your Cosmos tokens then begin accruing rewards.

Details of the staking transactions can be reviewed on the Recent Activity panel and the Transaction History page.

Rewards

Rewards begin accruing immediately after staking. They do not compound automatically. You receive the net amount of rewards after any related fees are collected. You can view the balance of your staking rewards on a Cosmos block explorer.

You can claim and receive your rewards by withdrawing the staked Cosmos tokens associated with those rewards. Rewards can also be claimed when adding funds to your staking position.

Withdrawing

To withdraw your staked tokens:

1. Select Withdraw on the desired staking position from which you want to withdraw.
2. Enter an amount, partial or all.
3. Sign the withdrawal transaction using your mobile device.
4. Review the staking positions in the staking dashboard. Make sure the status is updated to Withdrawing.
5. Review the withdrawal transaction in the recent activity and on the transaction history page.

Service fees

Your third-party staking provider collects a percentage of the rewards as a service fee. These fees are based on staking rewards only and are collected during on-chain reward distribution. Staking service fees are charged in the blockchain’s native token.

The following are the fee rates for each provider:

ATOM:

• Figment 9%
• Kiln 8%

• Blockdaemon 10%

• P2P 8%

OSMO:

• Figment 5%
• Kiln (operated by Interop) - 8%

AXL:

• Figment 10%
• Kiln - Currently not supported

• P2P 10%

INJ:

• Figment 10%

• Kiln 8%

• Galaxy 10%

TIA:

• Figment 8%

• Kiln 7%

• Galaxy 8%

• Blockdaemon 5%

• P2P 7%

Mantra:

• Kiln 8%

dYdX:

• Figment 10%

• Kiln 8%

• Blockdaemon 5%

Staking with the Fireblocks API

You can also stake Cosmos tokens using the Fireblocks API. See the Fireblocks API documentation for details on available staking endpoints and usage examples.