The world's first shielded proof-of-stake network, with privacy for delegators and accountability for validators.
The PEN staking token secures the Penumbra network and allows token holders to participate in project governance through on-chain voting. Penumbra uses a new staking design that provides privacy for delegators and accountability for validators.
Native Delegation Tokens
For each validator, Penumbra provides a native delegation token called dPEN, representing a share of the delegation pool staked with that validator. These tokens are recorded in the shielded pool and can be transferred or traded like any other asset.
Stakeholders can privately delegate to a validator by exchanging staking tokens for the validator’s delegation token. Instead of issuing rewards to delegators, rewards accrue to the delegation pool and are realized only when a delegator withdraws their delegation.
Stakeholders decide the future of the network by voting on governance proposals, ensuring that the project’s direction is not controlled by any one entity.