On Wednesday (December 4), digital asset exchange Binance announced that it will soon be adding support for Cosmos (ATOM) staking.
Binance’s announcement says that Binance will be supporting ATOM staking from December 5:
The Binance team says that ATOM staking rewards will be distributed as follows:
- Starting at 00:00 UTC on 5 December 2019, Binance will start taking hourly snapshots of users’ ATOM balances (i.e. 24 snapshots each day).
- The following two equations will be used to calculate the ATOM staking distribution:
- “ATOM generated by each user = Total ATOM staking rewards received by Binance * User ATOM holdings ratio”
- “User ATOM holdings ratio = User ATOM holdings / Total ATOM staked by Binance.”
To qualify for staking rewards, users need to have at least 0.5 ATOM.
The first distribution will be calculated up to and including 1 January 2020, “with the total amount distributed equal to the staking rewards accrued on holdings during the period.”
ATOM rewards will be determined on a daily basis (hourly snapshots) and paid out on a monthly basis; staking reward distributions will be completed “before the 20th of each month.”
Binance’s website says that the estimated annual yield for ATOM staking is 8–10%.
Featured Image Courtesy of Binance
