How to Stake Wonderland (TIME) – 6 simple steps

Crypto staking involves locking your token with a proof-of-stake blockchain to help in validating transactions. Investors stake their coins to enable them to earn passive rewards. Staking is beneficial to the whole blockchain community. While investors receive high APY for staking their coins, the blockchain network is highly protected. However, not all cryptocurrencies and blockchains allow staking.

Does Wonderland allow staking? Read this article to find out and see how to stake wonderland (TIME)

How does Staking in Wonderland work?

Wonderland uses staking to incentivize liquidity provision. Staking in Wonderland requires locking your TIME tokens in the Wonderland protocol. As an investor, you will earn rewards on investments for locking away liquidity and boosting the wonderland protocol treasury.

A token called MEMOrie (MEMO) is created and sent to liquidity providers with each TIME token staked. This MEMOrie is a liquidity provider token used for the distribution of rewards. MEMO is pegged to the value of TIME. However, there is always an imbalance between TIME and MEMO, which usually leads to Rebasing.

 What is Rebasing

A Rebase is a method used to correct the imbalance between TIME and MEMO. After eight hours, Wonderland protocol disburses profit. They do this by sending a new TIME token to the staking contract. This often leads to an imbalance between the amount of TIME and MEMO because they are both meant to be pegged at 1:1.

Rebasing helps to equalize the supply of TIME: MEMO to 1:1. By increasing the supply of MEMO to match the supply of TIME.

Rebasing is done 8 hours after generating profit. This means that you will be able to see the amount of APY you will receive at the end of the next 8 – hour window.

How then can you stake TIME? To efficiently stake your TIME token, you must first purchase a TIME token.

How to buy TIME token

  1. Buy AVAX from a Centralized exchange: You first need to buy AVAX from a centralized exchange before you can purchase TIME on the Avalanche blockchain using a Decentralized exchange. To buy AVAX, you can use any centralized exchanges like Binance, Kucoin, or even Coinbase. You can also get AVAX using fiat money on some exchanges. Just find exchanges that enable that.
  2. Connect your Metamask extension and AVALANCHE – if you are yet to set up your Metamask extension, you can do that first. While setting up your Metamask extension, ensure that you keep your pneumonic phrase safe.

Next is to connect your Avalanche blockchain and your Metamask wallet. To establish this connection, follow these steps. Click on Metamask extension. After that, click on the Network drop-down in the top middle of the extension. Go to the menu, click on the custom RPC option and provide your connection details. The details include

  • Network name : Avalanche Network
  • New RPC URL : htpps://api.avax.network/ext/bc/C/rpc
  • ChainID : 43114
  • Symbol: AVAX
  • Explorer: htpps://snowtrace.io/

NB: these details are subject to change or get updated, so ensure that you check the recent update from Avalanche network

 

After connecting to the Avalanche network, add the TIME and MEMO token symbol to Metamask. The symbol will enable you to view your holding in the future.

  1. Create an Avalanche wallet – once you finish the connection on the Avalanche network, the next thing is to create an Avalanche wallet. With the Avalanche wallet, you will be able to send your digital assets (AVAX) from your chosen centralized exchange. This will, in turn, act as a bridge between your centralized cryptocurrency exchange and Metamask.

Click here Avax network to set up an Avalanche wallet. Carefully follow all the instructions. Most importantly, carefully store all your key phrases and don’t share them with anyone.

 

  1. Withdraw AVAX from the centralized exchange to the Avalanche wallet – now that you have set up your Avalanche wallet, it is time to transfer your AVAX. Go back to the centralized exchange you used (Binance, Coinbase, Kucoin). You can decide to send a small amount of AVAX to your Avalanche wallet to confirm it is the correct address. Once you confirm, withdraw your AVAX to the Avalanche wallet.
  2. Transfer AVAX from your Avalanche wallet to your Metamask wallet – each chain in the Avalanche wallet serves different purposes. First, send AVAX coins between the multiple Avalanche chains before transferring them to your MetaMask wallet. In your Avalanche wallet, click the “Cross Chain” menu on the left. Select “X-Chain” as the source chain and “C-CHAIN as the destination chain. After that, enter the amount of AVAX token you wish to transfer and click Confirm.

Check if the assets have been moved to the C ChAIN. once you confirm, check the menu on the left of the Avalanche wallet screen and click on “Send.”

Select’ C’ as your source chain on the next window that will pop up. After that, enter the amount of AVAX you wish to transfer.

 Still on the Avalanche Network, proceed to your Metamask Wallet and copy your AVAX address. To copy the address to your clipboard, click the address symbol.

After copying the address, go back to your Avalanche wallet and paste it into the Address field.

Then click on confirm

  1. Swap your AVAX to TIME – before you start the swapping process, ensure that you have a transaction fee of at least 0.05 AVAX. Then visit Then visit  Traderjo.com. Traderjo is an Avalanche-based decentralized exchange. Here you can swap your AVAX tokens to TIME.

Congratulations, you now have a time Token.

 

How to Stake wonderland (TIME)

After successfully buying the TIME token, you can now proceed to stake. Follow these few steps,

  1. visit the official Wonderland website
  2. go to the stake page, click on the “Stake” tab,
  3. go to the input field, and select the amount of TIME you would like to stake. If you wish to Stake all your TIME, click on the “Max” button, and the input field will bring out your available TIME balance.
  4. Click “Approve” and sign the transaction.
  5. After successful Approval, Click Stake and sign the transaction

Such easy steps.

 How to unstake your Wonderland (TIME)

One beauty of Wonderland (TIME) staking is that you can unstake whenever you wish. If you decide to unstake your TIME, follow these few steps

  1. Go to Wonderland’s official website Wonderland website
  2. Go to the stake page and click the unstake tab
  3. Input the amount you wish to unstake. If you want to unstake all your MEMOries, press the Max button. The input field will put up your available balance.
  4. Click on Approve and sign the transaction
  5. Once the transaction has been approved
How much reward can you earn when you stake TIME?

You will earn enough reward when you stake TIME, but this depends on several factors

  • How much TIME You deposit on wonderland protocol
  • How much the price of TIME varies
  • The number of people staking their TIME token within Wonderland protocol

However, when you start staking, the APY will be initially high, but this can decrease when more people start using the protocol.

If the price of TIME falls, you can still come out with a profit as TIME has a high APY staking return. This is because TIME is an inflammatory token.

Is staking Wonderland (TIME)safe?

  Just like other cryptocurrencies, staking has its pros and cons. Staking also has a few risks associated with it.

Since 2021 when Wonderland started its staking activities, the feedback has been great. Many investors are yet to embrace it entirely because they fear that it is not yet stable enough for them to gain complete trust. However, no significant risk has been associated with it.

Wonderland protocol can be subject to unknown risks, just like other Defi applications. One of the risks they can face is smart contract bugs or exploits.

While researching how to stake Wonderland, ensure that you stake what you can afford to lose.

 

Conclusion

Staking Wonderland (TIME) can be done in a few easy steps. The significant bulk of the work lies in buying the token. Every step requires you to be careful. If you are not careful, you might transfer your token to the wrong address, which will be a huge loss to you. Also, carefully store all your key in safe places and don’t share them with anyone.

No major risk has been associated with staking Wonderland. You can go ahead and stake your TIME MEMOries and also unstake when you wish.

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