What is it?

Delegation (bonding) is a transaction that bonds user’s coins to a validator. It’s worth noting that the coins are not sent to the validator, but kept in the user’s wallet in a locked state instead.

By delegating coins, users increase a validator’s stake affecting its power within the network and receive rewards for block validation (block rewards + transaction fees). The profit is distributed proportionally to every delegator’s stake, minus the fee specified by the validator.

Delegation rewards

As of the genesis block, the block reward stood at 333 BIP, but it’s been decreasing ever since and will continue to do so until it drops to 68 BIP (by then, the entire supply of 10 billion BIP will be reached). Rewards decrease by 1 BIP every 200k blocks. That means the base rewards will have been distributed roughly seven years after the launch of the mainnet on May 15, 2019.

Aside from block rewards, every transaction fee charged on Minter is shared among validators and their delegators.

Rewards on the blockchain are distributed in BIP and are added to the balance every 720 blocks (~60 minutes) without any transactions.

How to delegate?

Using BIP Wallet
Using Minter Console

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