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Staking on Monad

ShMonad is available exclusively on the Monad blockchain, which has a unique, vibrant staking ecosystem.

How Monad Staking Works​

Monad's staking system follows a structured process (detailed at docs.monad.xyz):

  1. New stake is queued: When you stake, your MON doesn't become productive immediately. It enters a queue and activates after the next epoch boundary.

  2. Unstaking takes two steps: Withdrawing stake requires first initiating the unstake (which queues it) and then completing it after a mandatory delay period.

  3. Rewards arrive in batches: While validators earn rewards continuously, those rewards are formally recognized and distributed at epoch boundaries.

  4. Slashing is not enabled: Stake with a validator cannot currently be slashed, but this may change in the future.

Epoch Timing​

Monad organizes time into epochs—fixed periods when validator operations are processed:

  • Epoch length: 50,000 blocks
  • Block time: ~400 milliseconds per block
  • Epoch duration: Approximately 5.5 hours

This timing matters because validators can only process certain operations (like activating new stake or completing withdrawals) at epoch boundaries—not continuously.

Why shMonad Tracks Multiple Epochs​

Because of these timing constraints, shMonad internally tracks several epochs simultaneously. This allows the system to:

  • Know which stake is still queued versus actively earning
  • Track which unstake requests can be completed
  • Calculate accurate exchange rates that account for pending operations
  • Smooth reward recognition across epoch boundaries to prevent manipulation (this concept is covered more thoroughly in the section on Exchange Rates)

By handling these complexities automatically, shMonad abstracts away the underlying epoch timing, validator selection, and queue management. The protocol uses double-entry accounting to track capital flows and maintain accurate records of all assets and liabilities.