Substrate CLI Clone substrate node template git clone https://github.com/paritytech/polkadot-sdk.git git checkout polkadot-v1.6.0 Compile node cargo build --release -p minimal-node Docs

Recap How core staking works Nomination pools How staking works 1-staking How staking works Reward and slashing is instant. Nominators need to be bounded.

Nomination pool today does staking in two steps, 1) move the funds to the pool account, 2) stake. After #14540, these steps would become, 1) delegate the funds to the pool account, 2) stake. Migration can be done either lazily or eagerly by moving the locked funds to delegator account. We keep the same points system and we check when user is taking any action how much share of fund they deserve, and apply slashing if necessary. We introduce a new staking primitive of delegation that is restricted to only to other pallets in the runtime to begin with (not exposed via an extrinsic). Regular Bond: An account bonds some fund to staking-pallet and nominates a set a of validator. Delegated Bond: An account (called delegator from hereon) bonds some fund against a delegatee account. The staking pallet locks funds of delegators (in-place) and maintains a ledger of the delegatee accounts. The effective balance of the delegatee account at any point of time is indicated by the locked balance of all its delegators.

Migration Strategy for Nomination Pool into Delegated Staking The current setup: How the new setup should look like: Migration steps: Old pool account delegates to new pool account. D1's share is moved back to D1 and delegated directly to New pool account.

How slashing works currently Slashes are deferred by 28 eras. Slash Reward Fraction = 10% (both dot and kusama) When applied after 28 eras, it slashes ledgers of validator and nominators. If it could not slash everything, it deducts overslash from reporter reward. Pay reward and send rest of slash_imbalance to treasury. With delegation Staking Slashes are lazy. Which means we may not be able to apply all the slash at start of the scheduled slash era. Few things we can do going forward:

Staking Recap stake(amount, RewardDestination) nominate(targets) unstake(amount) withdraw() reward slash Nomination Pool Recap join(amount, pool_id)

Nomination Pools nomination pools Problem Direct Nominators: Money is locked, and locked money can be used for governance. Pool nominators: Money is transferred from the nominator to the pooled account. The pooled account is the direct nominator. Staking 5 primary functions: