What is Avalanche (AVAX)?
Avalanche is an open-source platform for launching decentralized applications and enterprise blockchain deployments. This interoperable, highly scalable ecosystem features:
- EVM Compatibility: Fully supports Ethereum Virtual Machine (EVM) for seamless Solidity development
- Near-instant Transactions: Achieves sub-second finality for global financial applications
- Three-Chain Architecture: Unique network structure with specialized chains for different functions
The platform's native token, AVAX, serves as:
- Payment for transactions
- Staking collateral
- Governance participation
👉 Discover how AVAX compares to other leading cryptocurrencies
Avalanche's Proof-of-Stake Mechanism
The Avalanche network operates through three interconnected chains:
| Chain | Function | Token Type |
|---|---|---|
| X-Chain | Asset creation and exchange | AVAX |
| P-Chain | Validator coordination and staking | AVAX |
| C-Chain | Smart contract execution | AVAX |
Validator Requirements
- Minimum stake: 2,000 AVAX
- Must validate the Primary Network (X, P, and C chains)
- 80%+ uptime required for rewards
How to Stake AVAX on Moonstake
Step-by-Step Staking Process
Transfer AVAX to P-Chain:
- Use Avalanche Wallet's cross-chain transfer function
- P-Chain addresses begin with "P-"
Delegate Your Stake:
- Minimum delegation: 25 AVAX
- Choose from active validators
- Review delegation fees (minimum 2%)
Set Staking Period:
- Minimum duration: 2 weeks
- Maximum duration: 1 year
👉 Start staking AVAX with Moonstake today
Key Advantages of AVAX Staking
- No slashing risk: Your staked tokens are never at risk
- Automatic rewards: Distributed directly to your wallet
- Flexible durations: Choose staking periods from 2 weeks to 1 year
AVAX Staking Rewards Structure
Reward calculations consider:
- Total AVAX staked across network
- Validator performance
- Staking duration
Example Rewards Table:
| Staking Duration | Estimated APR |
|---|---|
| 3 months | 7-9% |
| 6 months | 9-11% |
| 1 year | 11-13% |
Unstaking Your AVAX
Lock-up Period:
- Tokens remain locked until chosen period ends
- No early unstaking option
Reward Distribution:
- All rewards credited upon completion
- Automatically sent to designated wallet
Frequently Asked Questions
What's the minimum AVAX needed for staking?
- 25 AVAX for delegation
- 2,000 AVAX to run a validator node
How often are staking rewards paid?
Rewards compound continuously but are only distributed when the staking period completes.
Can I stake AVAX from a cold wallet?
Yes, Moonstake supports integration with hardware wallets for secure staking.
Is there any risk to my staked AVAX?
Unlike some networks, Avalanche has no slashing - your principal is never at risk.
How do I choose a validator?
Consider:
- Uptime history
- Commission rates
- Total stake amount