Zama Mainnet Staking Feature Launch, Detailed Explanation of ZAMA Token Incentive System

【Crypto World】Zama’s mainnet staking feature has officially launched, marking a new phase in its ecosystem. The ZAMA token plays a dual role in the protocol: on one hand, ZAMA tokens paid by users when utilizing network services are permanently burned, creating a deflationary mechanism that directly impacts the token’s long-term scarcity; on the other hand, staking has become the core method for participating in ecosystem operations and earning rewards.

From an incentive design perspective, the protocol mints new tokens at an annualized issuance rate of 5% to compensate for operational costs. Users who wish to participate in operations and earn rewards must lock up ZAMA tokens through staking. Interestingly, rewards are not distributed evenly but are based on the importance of different node types: FHE nodes receive 40% of the rewards, while KMS nodes receive the remaining 60%. This differentiated incentive structure reflects the project’s assessment of the importance of various node functions.

This mechanism balances token liquidity management and ecosystem participant incentives, regulating supply through burning while attracting more nodes to join the network through staking rewards.