Tezos

Once you have staked your XTZ, you are contributing to the network's security. In return, you will receive rewards in the form of newly minted XTZ. Conversely, if you do not participate in staking, your assets will get diluted over time.

The validator you delegate your tokens to is not able to access your funds at any point in time since you are only delegating your baking rights. At no point in time, we have control over your XTZs or your private key.

Unlike in other protocols, delegators can't be slashed. All the risk is with your bakers as only they can be slashed. Nevertheless, we advise you to carefully choose your baker. Malicious or defective bakers might lose their baking rights, so that their delegators will miss out on future rewards until they re-delegated to another baker.

Furthermore, due to the current architecture of the Tezos protocol, all the rewards earned through a baker are sent to the baker and are not automatically forwarded to the delegators. It is your bakers’ responsibility to forward the rewards to you. In case you delegate to a malicious baker, you risk losing out on your rewards.

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If you are a first time delegator, you will have to wait roughly five weeks for your first rewards. Unfortunately this is stipulated by the Tezos protocol and not something we control. This period of five weeks is made up as follows: it takes 21 days (7 cycles) until your XTZs are eligible to earn rewards; it then takes another 15 days (5 cycles) until they become liquid and can be paid out.

After the initial waiting period of five weeks, you can expect payouts every cycle (~ 3 days).

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Your rewards are not directly sent to you but your baker. It is therefore important to choose a trustworthy and professional baker. Technically a baker could run away with its' delegators unpaid rewards.