Staking Gnosis with Avado

As AVADO’s ecosystem continues to expand, it is constantly supporting an increasing number of platforms and granting users access to an even larger pool of exciting Web 3.0 projects. One project in particular that is getting a lot of attention as of late is the Gnosis chain, which is notable for both its innovation and for offering everyday users the ability to earn passive income with staking.

What is Gnosis

Per its own description, Gnosis is establishing market mechanisms designed to serve as the basis for a wide array of activities in the decentralized finance space. It aims to enable the secure holding, trading, and creation of digital assets and provide a vital front-running beacon chain network for the Eth2 ecosystem.

If this sounds familiar, it may be because Gnosis is not actually a new project. Rather, it is the result of an exciting merger that is taking place between Gnosis and the xDai Chain. The decision to merge these projects followed overwhelming support from the community itself.

Thanks to the storied history behind the current iteration of Gnosis, its users benefit from an ecosystem that is already tried and tested. Throughout its development, exciting projects emerged on the xDai Chain that are still succeeding today amid this transition. Visiting the community-curated Gnosis Chain Ecosystem portal provides a snapshot into these projects, which span a variety of industries such as gaming, governance, community engagement, DeFi, NFTs, and more.

One of the most interesting features of the Gnosis chain is that it is quick to act on public research conducted in the Ethereum ecosystem in order to implement forward-thinking solutions. These changes improve the experience that comes with conducting the DeFi process on the Gnosis chain, often being a step-ahead of similar Ethereum-based projects as a result.

This is quite similar to what we see when looking at Kusama, a project that implements new ideas proposed in the Polkadot ecosystem. The difference here, however, is that Gnosis does not have a formal relationship with Ethereum, representing a clearer separation between the projects.

The native asset resulting from the merger of Gnosis and xDai is identified by the ticker symbol GNO, and the project’s staking token is known as mGNO.

Staking on Gnosis Chain

Users who take part in the governance of the current Gnosis Beacon Chain are financially rewarded for doing so. It is part of a process known as staking, which can be done automatically with a dedicated device as a way to earn passive income.

Currently, staking on Gnosis offers an annual percentage yield (APY) that changes over time, currently offering a 30% return on the amount staked. This makes helping the project’s governance a great way for users to earn a much higher return on their holdings than similar options such as staking on Ethereum.

It is also important to remember that this current iteration of the Gnosis chain, following the xDai and Gnosis merger, is still rolling out. This means that there is a huge opportunity for early adopters to begin staking prior to any future increase in the APY offered to validators.

While it is obviously impossible to predict how an individual project’s staking rewards will skyrocket, there is precedent for this occurring. For instance, adjacent projects in the space like Kusama and Polkadot exploded in value, resulting in a massive payday to early adopters of those platforms.

Further, the amount offered for staking varies based on the total number of validators that are participating in the network’s governance. An explosion in the number of validators would mean reduced rewards as a result of the network no longer needing to incentivize people to the same degree. This means that people who are early to run Gnosis chain validators have the opportunity to earn a lot more passive income than those who do so later on.

Creating a validator currently requires a minimum of just 1 GNO (see the price of GNO here). This makes it an extremely easy chain to begin staking, both for newcomers and for those who do not wish to lock away the same kind of large investment required by other projects in the space. As a result of this low minimum stake, the risk of running a Gnosis chain validator is extremely low.

How to stake Gnosis: the hard way and the easy way

There are two core ways to start staking on the Gnosis Beacon Chain. The first is to go through the technical process yourself. The other option is to use a ready-to-go device that will allow you to set up a validator in just a few minutes.

If you’re going the technical route, you’ll need to generate the validator account and deposit data. You’ll then need to choose your client and important validator keys, and then run the Beacon Chain node with the attached validator process. You’ll then use the deposit UI to convert your GNO tokens to tokens that allow you to stake, known as mGNO, and deposit to your validator. Then, finally, you’ll have to wait up to two hours for the validator that you set up to go live.

This process can definitely be quite complicated. For the full explanation on how to follow every step, you can visit the project’s official documentation.

A much easier and more user-friendly way to go about doing this is to simply use a device that has already been programmed to run validators for Web 3.0 applications like Gnosis chain. That way, you will not need any technical knowledge in order to get started. Better still, you won’t have to spend time and resources trying to precisely follow each step.

Across AVADO’s range of plug-and-play blockchain devices, a package for staking GNO is already available right out of the box. Through this method, you’ll just need to click a few buttons and your staking keys will be generated for you. All you’ll have to do is follow the easy on-screen visual instructions on your device in order to begin earning passive income in no time at all.

In addition, users have the opportunity to earn free GNOs from the upcoming Staking Bundle.

Why AVADO?

AVADO’s offerings are at the forefront of user-friendly Web 3.0 devices. They serve as plug-and-play options that allow anyone to take part in what can otherwise feel like a complicated and alienating digital space.

Each of the various AVADO devices that are currently offered cater to the needs of different types of users, ensuring that there’s something for everyone. Especially all i7 products offered by AVADO are more than capable of running a validator for Gnosis chain and similar projects, allowing you to begin staking and earning passive income immediately. As a result, you can be an early adopter to some of the most exciting and rewarding projects in the blockchain scene today.

Find the perfect solution for you and get started today, visit AVADO’s website.