# Staking Mechanics

### Staking Mechanics

* **What is the process for staking or unstaking KAITO?**

1. Users can initiate staking or unstaking via the staking portal by selecting “stake” or “unstake”. This action prompts wallet to sign the transaction
2. Once the transaction is signed, it is submitted to the Base blockchain for processing
3. Upon successful confirmation, the user receives sKAITO / KAITO as the tokens are atomically swapped
4. Users also earn rewards by staking KAITO for sKAITO

* **Is there a cooldown period for unstaking?**

There is a cooldown period of 7 days after unstaking sKAITO, KAITO will be available to withdraw after that period.

* **How is the yield accrued?**

Staking rewards are earned through Liquidity Incentives. Users can check the staking portal for the latest APR.

* **Is there utility for sKAITO holders?**

Stakers will be able to vote with sKAITO in the Kaito Connect ecosystem.

Long-term stakers will also receive a multiplier for the voting rights and gain priority access to the overall Kaito ecosystem.

* **Do the rewards get added directly to your wallet or do users have to claim?**

Rewards automatically accrue in the staking contract — no manual claiming is required.

The value of sKAITO increases over time, reflecting accumulated rewards.

Users receive their staked amount plus any accrued value when unstaking.


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