Kyber to Offer Delegated Token Staking After Coming Network Upgrade

A new partnership with StakeWith.US will allow community members to delegate staking if they don't have time or knowledge to get directly involved in governance, said Kyber.

AccessTimeIconMay 4, 2020 at 1:00 p.m. UTC
Updated Sep 14, 2021 at 8:36 a.m. UTC
Consensus 2023 Logo
Join the most important conversation in crypto and Web3 taking place in Austin, Texas, April 26-28.
Consensus 2023 Logo
Join the most important conversation in crypto and Web3 taking place in Austin, Texas, April 26-28.

Kyber Network is adding a new staking option for token holders once a planned protocol upgrade is implemented in less than two months.

A new partnership with StakeWith.US, a Singapore-based blockchain infrastructure firm that provides staking services, is expected to provide "greater flexibility" for stakeholders and community members by increasing their control over decision-making, Kyber said.

Holders of Kyber Network Crystal (KNC), an Ethereum-based (ERC-20) token, will be able to delegate their tokens and voting power to StakeWith.US's staking pool, ATLAS, when the network's Katalyst upgrade is completed by the end of June.

"This seems like a logical tie-up and would allow KNC token holders who are either too busy or don't feel comfortable enough to vote on KyberDAO initiatives to delegate their votes to an informed third party and still receive voting rewards," said Gerrit van Wingerden, CTO and co-founder of crypto asset management platform Caspian.

Kyber Network is a decentralized exchange that allows instant trading and conversion of cryptocurrencies and tokens with high liquidity. 

Under the planned protocol upgrade, KNC holders will be able to vote on various protocol decisions and in return will receive rewards from network fees in the form of ether (ETH).

“Kyber will be the only protocol that has a deflationary staking token with network fees paid out in ETH, an asset with monetary premium,” said Michael Ng, co-founder of StakeWith.Us.

With the change, KNC holders will receive their ETH rewards based on the number of tokens staked. Token burn and rewards are determined by actual network usage and DeFi growth, Kyber said.

"It's interesting to see staking providers, such as StakeWithUs, working closer with DAOs. Collaboration will lead a healthy debate around governance and proxy smart contracts," said David Freuden, DAO enthusiast and founder of Monsterplay, a blockchain consultancy firm working in the areas of smart cities, privacy and decentralized autonomous organisations.

"Staking providers can also access a broader and potentially larger network of staking participants which will increase the size of deployable pooled funds," Freuden added.

Kyber Network activity surged in late April amid news that staking was on the way, with the number of addresses with a balance in KNC reaching an all-time high of 61,980 on April 27.


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Learn more about Consensus 2023, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to to register and buy your pass now.