Bake ꜩ For Me FAQ


How much can be delegated to your service?

The exact amount will gradually increase over time as we increase our funds. A way to get a rough estimate is to look at our evaluated balance on tzscan.io and multiply it by 12. If our staking balance is lower than that amount, it means we are not over-delegated and can accept more delegated funds. If you're still not sure you can always contact us to verify we can cover your delegation.

While every reasonable effort will be made to increase our bond as necessary to cover delegated balances, if we have not explicitly agreed to accept your delegation then we cannot guarantee payouts will be made to you if we become over-delegated.

When can I expect my first payout?

The short answer is in about 40 days after you delegate funds to us, give or take a few days. The reasons for this seemingly long delay requires a more detailed explanation.

The Tezos network grants baking rights based on the number of rolls a baker had staked on the network 7 cycles ago. This means that your funds won't begin earning rewards for us until about 7 cycles have passed after you delegated your funds to us. After those 7 cycles we can begin earning rewards with your funds. But all rewards we earn through baking are locked by the network for 5 additional cycles before they're released to us at the beginning of the sixth cycle. Thus there is a delay of 7+5=12 cycles before a payout is possible. A single cycle lasts approximately 3 days under optimal network conditions, so 12 cycles times 3 days each equals 36 days. Additionally, there is a chance that the network won't count your delegation until the cycle after you delegate funds to us, which would result in one more cycle delay, which is why we round it up to about 40 days.

Subsequent payouts should occur regularly thereafter as stated on our home page.

Do my rewards compound?

Yes. We make payouts back into the KT1 address that stores your delegated funds. This means the total amount you have delegated to us will increase with each payout.

Keep in mind that, as described above, there is a 7 cycle delay between when funds are added to your account before they are counted toward rewards being earned. Thus there is another 7 cycle ramp-up period between your first payout occurs and when you will start earning rewards from that payout.

Once that ramp-up period has completed, your payouts should compound pretty much every cycle.

How do you calculate payouts?

We make payouts based on your share of all staked funds.

For example, if you delegated 1 000 ꜩ to us, bringing our total staking balance to 25 000 ꜩ, then your share would be 1 000/25 000 (which is 4%) of the rewards earned. Our fee would be deducted from your share prior to making a payout. For example, a 4% gross share with a 10% fee would result in 3.6% net share.

What if I still have questions?

Contact us.