Understanding Bonding and Unbonding Periods When Staking with Netcoins

Staking is a popular way to earn passive rewards on your investments, it’s important to understand that staked assets aren’t instantly accessible they’re subject to bonding and unbonding periods. These timeframes vary by asset and can impact your liquidity and strategy.

In this article, we’ll break down what bonding and unbonding periods are, and how they work on Netcoins.

What Are Bonding and Unbonding Periods?

• Bonding Period: The delay between when you stake your crypto and when it becomes active (starts earning rewards). This period helps maintain the underlying assets network security by preventing quick in-and-out staking that could destabilize validators or governance systems.

   

• Unbonding Period: The delay between when you unstake your crypto  and when your crypto becomes accessible to trade again. This protects the network from coordinated attacks and allows time to detect validator misbehavior.

   

These lock-up periods are part of the underlying blockchain protocol itself and are not controlled by Netcoins. For our stackable offerings  ETH staking directly affects the Ethereum blockchain, SOL affects Solana and ATOM affects the Cosmos chain. 

Staking Lock-Up Periods by Asset on Netcoins

Here’s a breakdown of the estimated bonding and unbonding periods for each asset currently supported on Netcoins:

To check your bonding periods in real time check the Netcoins Web App.

Why Do These Periods Vary by Asset?

Each blockchain protocol implements its own staking mechanics based on its design goals:

• Ethereum (ETH) has longer bonding and unbonding times to protect against slashing and ensure validator accountability.

   

• Solana (SOL) uses shorter epochs (periods of about 2–3 days), allowing for quicker turnaround on staking and unstaking.

   

• Cosmos (ATOM) has an instant bonding period but a long unbonding period (21 days) to protect network integrity and penalize malicious validators if needed.

These timelines are hard-coded at the protocol level and reflect the trade-offs between speed, decentralization, and security.

Final Tip: Plan Ahead When Staking

Staking can be a great way to put your crypto to work — just remember that it requires some planning. You won’t be able to withdraw your crypto instantly once staked, so it’s important to know how long it will be locked up for when unbonding.

Always review the bonding and unbonding periods before staking and make sure your investment timeline aligns with those windows.

FAQs

Can I unstake my crypto anytime?

Yes. You can initiate an unstake at any time but you won’t be able to access your funds until the unbonding period has completed.

Is my crypto safe during bonding or unbonding?

Yes. Your assets remain secure throughout both phases as they never leave our custody. Your crypto is stored in segregated cold wallets, backed by industry-leading infrastructure and regulatory oversight via Bitgo.

Can I stake multiple assets at the same time?

Yes. You can stake supported assets like ETH, SOL, and ATOM simultaneously, each with their own bonding/unbonding conditions.

Do I earn rewards during the bonding or unbonding period?

No. You only earn rewards while your crypto is actively staked (after bonding and before unbonding).

Where can I see the current bonding/unbonding period?

Check the Netcoins mobile app for the most up-to-date durations. These values reflect current blockchain network conditions and validator status.

Disclaimer

The information provided in the blog posts on this platform is for educational purposes only. It is not intended to be financial advice or a recommendation to buy, sell, or hold any cryptocurrency. Always do your own research and consult with a professional financial advisor before making any investment decisions.

Cryptocurrency investments carry a high degree of risk, including the risk of total loss. The blog posts on this platform are not investment advice and do not guarantee any returns. Any action you take based on the information on our platform is strictly at your own risk.

The content of our blog posts reflects the authors’ opinions based on their personal experiences and research. However, the rapidly changing and volatile nature of the cryptocurrency market means that the information and opinions presented may quickly become outdated or irrelevant. Always verify the current state of the market before making any decisions.