FUEL, the native token of the Fuel Network, is now live.
This launch marks a significant milestone for Fuel and its community, setting the stage for a more fair and verifiable internet, delivering web2-like, fee-less experiences to users.
Eligible participants of the Fuel Genesis Drop can now claim $FUEL on Fuel Ignition by visiting the claims page.
FUEL will also be available on centralized and decentralized platforms – such as Bybit, Bitget (Eth L1 and Ignition), Uniswap (on Eth L1), and MIRA, Spark (on Fuel Ignition).
Today, Fuel takes a major step in its journey towards decentralization by opening up staking and delegation on Fuel Ignition and Ethereum.
Anyone can participate in Fuel's decentralized sequencer network by staking or delegating their FUEL tokens to trusted validators on either network.
Fuel’s Decentralized Sequencer
Our vision is to fully decentralize sequencing, which is essential for improving fault tolerance, liveness and censorship resistance. While centralized solutions dominate the space today, Fuel is committed to evolving toward a shared, permissionless network for its rollups.
The Fuel sequencer uses Tendermint's proof-of-stake (PoS) consensus to sequence transactions from Ignition. Fuel currently has 13 validators supporting the network, with plans for the validator network to become fully permissionless. Users can earn rewards by delegating their FUEL to sequencer validators, contributing to the economic security of the network. In return, they receive a share of the staking rewards. However, there is a risk involved: if the validator they choose fails or behaves maliciously, they could face slashing penalties.
Learn more about the Fuel Sequencer or see the Fuel Genesis announcement to learn more about FUEL.
Staking FUEL
Staking is now live, and users can stake their FUEL tokens on either Ethereum or Fuel Ignition to earn rewards.
Inflation is set at 3% annually. Note that inflation and Fuel economics are configured by the sequencer validator set.
Users can stake on either Fuel Ignition or Ethereum. Staking on Ethereum leverages the robust security guarantees of Ethereum’s mainnet, while staking on Fuel Ignition offers lower fees and a seamless process without requiring token migration or leaving the platform.
Unstaking mechanics differ between Ethereum and Ignition. Delegators operating in Ethereum will be subject to the usual flows of Tendermint PoS, including unbonding periods of up to 2 weeks. On the other hand, Ignition delegators will be able to unstake and get their tokens at any time, with a caveat: at least 1 week must have passed since the last deposit to our staking contract.
Users can choose based on their priorities: enhanced integration and ease of use on Fuel Ignition, or staking directly on Ethereum for mainnet-native security guarantees.
The validator set is fixed at this time, but stay tuned for future updates as we aim to expand the network.
How to Stake on Ethereum
On Ethereum, users can connect an Ethereum-compatible wallet, migrate FUEL tokens to the Fuel sequencer network if needed, and manually select a validator to delegate tokens. Rewards accumulate automatically, and users can manage their staked tokens or withdraw them back to their Ethereum wallet at any time.
Check out our Staking on Ethereum guide.
How to Stake on Fuel Ignition
On Fuel, staking is even more user-friendly, supporting EVM, SVM, and native Fuel wallets. After connecting their wallet, users can stake seamlessly by selecting the amount of FUEL to delegate, with validator delegation handled automatically. Rewards can be claimed directly, and users can easily withdraw undelegated tokens to their Fuel wallet. Both options are now available, providing flexibility and a reliable way to engage with the Fuel network while earning rewards.
Check out our Staking on Fuel Ignition guide.
How to upgrade Fuel V1 to FUEL
The Fuel V1 token was the previous iteration of the FUEL token. The FUEL token has a total initial supply 100 times that of Fuel V1. Accordingly, Fuel V1 tokens can be upgraded at a ratio of 1:100.
Please visit app.fuel.network/upgrade to upgrade Fuel V1 tokens to FUEL tokens. See guide.
Fuel The Future
This is just the start of our journey.
Please reach out to us on Discord if you have any concerns or questions.
To dive deeper into Fuel’s philosophy and architecture, as well as what sets us apart from other blockchain solutions, check out the Fuel Book. Check out our documentation for detailed instructions on how to get started in the Fuel ecosystem.