Overview

The Staking Grant Program, operated by the Pastel Network Foundation, is designed to accelerate the development and adoption of the Pastel Network. The program specifically encourages both custodial and non-custodial third-party staking providers to operate SuperNodes, support easily accessible staking for their community members, and foster overall network growth.

Purpose and Objectives

The program seeks to further decentralize the Pastel Network by broadening SuperNode participation and staking rates across diverse third-party staking providers. The intention is to enhance the resilience, efficiency, and reliability of the network while making its benefits more widely accessible to the Web3 community. By granting providers the requisite amount of PSL for self-staking (5M PSL per SuperNode), the program aims to solidify the network's architecture and stimulate user base growth.

Grant Allocations

Qualified grant applicants are eligible to receive initial allocations of PSL ranging from as little as 5M up to 125M* PSL to meet the self-staking requirements for operating SuperNodes. Grants are structured in one of two ways:

• Zero-Interest Loan: PSL is loaned with zero-interest under a multi-month maturity structure ranging from 36-60 months. Under the Loan model, granted PSL is returned to the Foundation upon maturity, while the staking provider retains 100% of associated rewards and revenues.
• Vested Grant: PSL is granted directly from the Foundation which vests over a period of 60 months (subject to a 24 month cliff). Unvested PSL cannot be used for any purpose other than meeting the self-staking requirements for operating SuperNodes. Under this structure, the initial allocation cannot exceed 50M PSL. The staking provider retains 100% of associated rewards and revenues which are not subject to lock-up or vesting.

The amount and structure of each grant will be determined based on the provider’s capabilities, capacity, strategic vision, and their commitment to upholding the Pastel Network's values and standards.

*Larger allocations may also be considered by the Foundation upon review.

Key Roles and Responsibilities

SuperNode operators contribute to core network functions, including NFT Registration & Activation, Sense & Cascade Requests, and cross-chain bridge relayers & orchestrators. They also play a governance role, voting on key initiatives that drive the Pastel Network's development and growth.

Evaluation and Rewards

Under the grant program, third-party staking providers maintain full custody and rights to any network fees or protocol revenue generated. The daily estimated rewards in PSL as a percentage of the staked collateral depend on the total number of SuperNodes and overall block reward at any give time. Additional protocol revenue is generated from various network transactions and can vary based on overall network volume.

Support from Pastel Network