Delegated Staking in STBL: Introduction

Delegated staking is a fundamental mechanism within the STBL that allows token holders to assign their staking rights to other entities through smart contracts. This approach promotes greater flexibility, increased participation in the governance process, and enhanced capital efficiency within the ecosystem. By enabling the delegation of staking rights, STBL ensures that both active participants and passive holders can contribute to the network’s growth and security.
Through delegated staking, USST token holders can assign their staking rights to specific derivative tokens that represent underlying staked assets. This delegation process is governed by transparent and secure smart contracts, ensuring that all operations remain decentralized and tamper-proof. Furthermore, the approval of derivative tokens for staking rights delegation is subject to a governance resolution passed via community voting, adding an additional layer of security and oversight.