Maximize Your TNT: How to Start Native Restaking
Tangle supports natively restaking your TNT and the main benefit is to maximize your earning potential on your TNT. Native restaking is the process in which you doubly expose your TNT to the core consensus system’s slashing and rewards as well as to the decentralized cloud offering built on Tangle and to the services therein.
Natively restaking begins by first nominating validators of the consensus system. This earns you a baseline APY from inflation in TNT. Next, you can use our dApp to restake this TNT. This allows you to delegate it to operators and potentially earn more from the services that use it for security.
Benefits given to TNT restakers
Tangle’s tokenomics are geared towards driving value towards TNT restakers with the goal to make TNT the default restaking asset used to secure services on Tangle’s decentralized cloud marketplace. Specifically, restaking and delegating TNT earns a larger proportion of service rewards for services leveraging TNT. Services are required to leverage TNT with a minimum 10% exposure, meaning every service needs to pay TNT restakers some portion of its rewards to TNT restakers. This drives continuous incentives to TNT holders and provides a value capture that prioritizes Tangle’s token holders.
The system controls parameters that can be updated through governance such as the minimum percentage of TNT required for exposure and the score value of TNT when distributing service rewards. To begin with, these values are set at 10% and 1 score value per TNT. The system also scores each $1 value of restaked assets exposed to a service with 1 score value. This means that TNT takes on the proportional value of each dollar in the restaking service. As Tangle’s decentralized cloud offering grows, this too has the potential to change, to drive more value from services and restaked security towards TNT.
