Your ETH will be held at the WorkLock smart contract.
The CoinList WorkLock will end 36 hours before the general WorkLock ends so we have ample time to split the stake if we need to do so. The stake will be split equally across all CoinList nodes.
By participating in the WorkLock, you will receive NU from the genesis block at mainnet launch. Then, as the NU is staked over the 6 month lock period, you will earn inflationary reward NU that will be automatically re-staked. Both the genesis block NU and inflationary reward NU will be released at the end of the six month period.
In many scenarios, you would earn more NU running your own node. This is because each node is entitled to the minimum stake (likely to be 15,000 NU tokens) and since CoinList is aggregating deposits into a single node, that minimum stake is split across all participants on CoinList.
However, the difference in NU earnings between running your own node and participating on CoinList gets smaller if your ETH contribution is larger. This is because as your ETH contribution gets larger, more of your NU earnings come from your bonus allocation, which is unlikely to be materially different between running your own node versus participating on CoinList.
CoinList is teaming up with Bison Trails, a leading blockchain infrastructure company, who will be running worker nodes on behalf of users. This will allow CoinList users to easily stake their tokens through these Bison Trails nodes, helping to ensure the integrity of the NuCypher network.
Yes you can cancel it. However, please note that you will no longer be able to cancel your participation after 11:59 UTC, Friday September 18th, 2020. Please visit our Help Center to retract your staked ETH or if you have any questions or concerns about the cancellation policy.
CoinList has partnered with Bison Trails, the leading blockchain infrastructure provider, to run worker nodes for the WorkLock. This partnership ensures the worker nodes powering your participation in the WorkLock are highly available, secure, and geographically distributed.
CoinList has negotiated a preferred rate with Bison Trails. CoinList will cover gas fees and Bison Trails will earn 2% of WorkLock NU, 2% of staking rewards NU, and 2% of earned ETH service fees on our platform. There will be no fee applied to escrowed ETH.
For example, if you lock 5 ETH and earn 10,000 NU during the course of the WorkLock, you would receive all 5 ETH back at the end of the period and 9,800 of the NU (with the remaining 200 NU going to Bison Trails in exchange for the use of their enterprise-grade infrastructure). Please note that these numbers are hypotheticals and not indicative of actual NU rewards.
Unfortunately CoinList will not be providing any compensations in case something wrong happens. When you agree to participate in the CoinList WorkLock, you are also agreeing to take on that risk. Nevertheless, CoinList takes serious security precautions and will do everything in our power to prevent such an event from happening.
If you participate through CoinList it is not guaranteed that you will receive a 15,000 NU stake when making the minimum escrow of 5 ETH. You will receive a pro rata amount of the minimum stake plus whatever bonus amount the CoinList escrow receives.
Anyone living in CoinList's supported jurisdictions can participate in the CoinList WorkLock.
You may check the status of your WorkLock participation at https://coinlist.co/accounts/transactions
No. However, if you choose to participate in the WorkLock without CoinList, you may not have assistance running your own node and there will be a maximum and minimum ETH stake.
WorkLock is a novel, permissionless network node setup mechanism which requires participants to temporarily stake ETH and operate NuCypher network threshold cryptography nodes in order to be allocated NU, the native token of the NuCypher network that enables node operation.
If WorkLock participants run a node and provide threshold cryptography services on the live network for a minimum of six months (from network launch), their NU will subsequently unlock and their temporarily escrowed ETH will be returned in full. Participants that fail to successfully run a NuCypher network node for six months (from network launch) on the live network will not receive stake-rewarded NU and their ETH will remain escrowed in the WorkLock contract.
The node’s rewards will then be split proportionally based on each user’s contribution. Unlike the regular NuCypher WorkLock, the CoinList WorkLock does not guarantee that you will receive a 15,000 NU stake when making a 5 ETH escrow. Instead, you will receive a pro rata amount of the minimum stake plus whatever bonus amount the CoinList escrow receives which could be less than 15,000 NU. The majority of CoinList’s NU rewards will come from the bonus reward structure. (CoinList is not unique in this regard - any large WorkLock contributor that contributes significantly more than 5 ETH would also have the majority of NU rewards comes from bonus rewards).
The WorkLock specifies a ‘maximum stake size’ of 30M NU tokens - so any given node is not allowed to earn more than 30M NU tokens. In the event that the CoinList node exceeds the 30M NU token cap, CoinList will work with Bison Trails to spin up multiple nodes to stay under the 30M NU cap.
There is a scenario to consider in which 15,000 independent nodes participate in the NuCypher WorkLock and so each node is entitled to only the minimum stake (15,000 NU * 15,000 nodes). In this scenario, the 15000 NU CoinList receives will then be split pro rata across all CoinList WorkLock participants. However, we view this as unlikely given that there are only 77 nodes participating at the moment (as of writing on September 4th).
If you’re interested in reading further on hypothetical scenarios, we recommend Bison Trails' primer and NuCypher’s description.
NuCypher is a privacy layer for blockchains. It enables end-to-end encrypted data sharing on public blockchains (e.g. Ethereum) and decentralized storage solutions (e.g. IPFS). NuCypher allows users to conditionally grant and revoke access to data with multiple users at a time. The protocol provides the backbone for applications that involve the transfer of sensitive data that also want to leverage the trustless and censorship-resistant nature of public blockchains.
WorkLock is a novel, permissionless network node setup mechanism which requires participants to temporarily stake ETH and operate NuCypher network threshold cryptography nodes in order to be allocated NU, the native token of the NuCypher network that enables node operation.
If WorkLock participants run a node and provide threshold cryptography services on the live network for a minimum of six months (from network launch), their NU will subsequently unlock and their temporarily escrowed ETH will be returned in full. Participants that fail to successfully run a NuCypher network node for six months (from network launch) on the live network will not receive stake-rewarded NU and their ETH will remain escrowed in the WorkLock contract.