It is essential for users to stake their PoS tokens with dependable and highly performant validators, which is why we rolled out our Staking Rewards Verified Staking Provider (VSP) Program in June 2022. Through this program, we thoroughly scrutinize potential validators, evaluating factors such as security measures, their on-chain reliability, their provider setup, and value-added services for the whole ecosystem.

There are many metrics to consider when selecting a validator to delegate to:

Commission Rates: The commission rate a validator charges is the % of your reward that the validator keeps for themselves. A high commission rate means your rewards will be lower, whilst a low commission rate could mean that the validator is not profitable and could cause issues for them in the future. Keep in mind that validators can adjust their commission rates up or down over time. 

Number of Users: A high number of delegators could indicate positive sentiment towards a validator. 

Validators Self-Staked Balance: A provider with a high amount of staked tokens likely has more incentive to continue operating their services as they have more to lose than those with low self-staked balances. This metric has some limitations as Validators can choose to delegate to their own validator from another wallet, which is done to increase the security of their funds. 

Current Status: To check if a validator is currently active, go to the Stride Validator Dashboard on Mintscan. The default view on this page is for “Active” validators, but you can also filter to view inactive validators in the top right corner of the page. Keep in mind that only the top 100 validators on Stride, ranked by balance, receive rewards.

Network Share: You typically don’t want to choose a validator with the highest or a low network share. Delegating to the most popular validators increases centralization risks within the network as those validators will have more say in governance and produce a larger share of the blocks. A validator with a low network share might not be profitable, increasing the risk of discontinuing their services. If a validator drops out of the eligible set, they also stop earning rewards. However, if you are willing to put more time in, then delegating to a smaller validator helps support the decentralization of the network. You would just have to make sure to check regularly if the provider is still active and operating. 

Performance: Make sure you pick a validator with the highest possible performance. Further, please check individual validators’ uptime, and our recommendation is only to pick those with a >=99% uptime and a long history of not getting slashed.

We strive to make staking as safe and transparent as possible, however, it's important to consider factors that may influence whether a particular staking option is appropriate for you.

Slashing Risk: Your stake may be slashed if a validator is down for an extended period of time or engages in harmful behavior.

Unbonding Risk: When staking HEART tokens, there is a lockup period of 14 days. This means that investors will not be able to sell their tokens immediately, but instead need to wait 14 days after initiating unbonding before they can be traded again. This is something to keep in mind when deciding to stake, as crypto markets are highly volatile. Consider keeping funds liquid if you do not intend to hold HEART long-term. 

Dropping out of the Active Set: A validator could drop out of the top eligible validator set, meaning they no longer earn any rewards. Ensure you check back frequently to ensure your validator is active, not jailed, and has not unreasonably raised their commission fees. 

Security Risks: There is an inherent risk that the protocol could contain unknown bugs, this risk applies not only to staking but also to the investment in HEART.

Please note that this is not an exhaustive list of all the risks related to staking.

The HEART token is the native cryptocurrency of the Humans ecosystem, enabling governance participation and facilitating value exchanges within the platform. All fees on the Humans platform are paid in HEART, regardless of the original payment method.

Key functions of HEART:

• Minting NFTs
• Account validation
• Creating apps
• Adding AIs to the Humans studio