Introducing Staking Smart Contract - Harmony

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The Harmony blockchain has taken a major leap forward in decentralization, accessibility, and developer flexibility with the launch of its precompiled staking smart contract. This innovation allows users to stake ONE tokens directly through Ethereum-compatible wallets like MetaMask—something previously impossible without specialized tools. By integrating staking functionality at the smart contract level, Harmony is not only improving user experience but also unlocking new possibilities for decentralized finance (DeFi) innovation and validator customization.

👉 Discover how smart contract staking can transform your DeFi experience.

The Evolution of Staking on Harmony

Since opening staking to the public in May 2020, Harmony has seen exponential growth in network participation. Over 4.4 billion ONE tokens are now staked by more than 26,000 unique stakers, distributed across 160 validator pools. This robust staking ecosystem is vital for maintaining the security and decentralization of the network.

However, until recently, staking required sending special staking transactions only supported by a limited set of wallets—such as the Harmony Chrome Extension Wallet or MathWallet. This created friction for users of popular tools like MetaMask and restricted developers from building advanced staking-based applications.

Now, with the deployment of the precompiled staking smart contract on Harmony’s EVM (Ethereum Virtual Machine), staking operations are fully accessible via smart contracts at address 0xfc on shard 0. This enables three core functions:

These operations function identically to native staking transactions—same gas fees, same effects—but now operate within the flexible environment of smart contracts.

Key Benefits of Smart Contract Staking

1. Universal Wallet Support

Stakers can now use any EVM-compatible wallet, including MetaMask, to participate in staking. No more switching between wallets or relying on niche extensions. If you can interact with Ethereum dApps, you can now stake ONE seamlessly.

2. Unlocking Liquidity with Staking Derivatives

One of the biggest challenges in Proof-of-Stake ecosystems is illiquidity—once tokens are staked, they’re locked and can’t be used elsewhere. With smart contract-level access, developers can now create trustless staking derivatives, such as liquid staking tokens (e.g., “stONE”), representing staked positions that can be traded, lent, or used as collateral in DeFi protocols.

This unlocks billions in dormant value, injecting fresh liquidity into Harmony’s DeFi ecosystem and enabling yield stacking opportunities for users.

3. Custom Reward Distribution Logic for Validators

Validators are no longer bound by the fixed reward distribution model of Harmony’s Effective Proof-of-Stake (EPoS) system. Using smart contracts, they can now implement custom logic for how rewards are shared among delegators—enabling innovative incentive models, tiered rewards, or even gamified participation structures.

This empowers validators to build stronger communities and differentiate their services in a competitive landscape.

4. Bridging the Gap Between Staking and DeFi

Historically, users had to choose between earning staking rewards or putting their assets to work in DeFi protocols. Now, thanks to composable staking, both become possible simultaneously. Staking derivatives allow users to earn passive income from staking while using their derivative tokens in lending markets, decentralized exchanges, or yield aggregators.

This resolves the long-standing liquidity competition between staking and DeFi—turning it into synergy.

For Developers: Building the Future of Staking

Smart contract developers now have direct access to staking primitives. You can invoke delegate, undelegate, and collectRewards functions programmatically from your dApps, enabling:

All operations execute with the same efficiency and security as native staking transactions. Sample implementations are already available in open-source repositories, making integration straightforward.

For example, using Solidity libraries like StakingPrecompiles.sol, developers can embed staking actions into broader financial workflows—such as auto-compounding rewards or conditional unstaking based on market conditions.

👉 Explore how you can integrate smart contract staking into your next DeFi project.

For Delegators: How to Stake with MetaMask

Harmony has updated its staking dashboard to support MetaMask integration. Here’s how to get started:

Step 1: Set Up MetaMask for Harmony

Configure MetaMask to connect to the Harmony mainnet by adding the following network settings:

You can find full setup instructions in Harmony’s official documentation.

Step 2: Connect Your Wallet

If you're already logged into the staking dashboard with another wallet, click “Sign Out” first.

Then:

  1. Click “Sign In”
  2. Select “Use an existing address”
  3. Choose “Use MetaMask Wallet”
  4. Confirm connection in MetaMask

Step 3: Start Staking

Once connected:

You’ll start earning passive rewards averaging 10–11% APR, paid out in ONE tokens.

Migrating from Harmony Wallet to MetaMask

While it’s technically possible to import private keys, it’s strongly recommended to transfer assets to a new MetaMask-generated account for better security.

Here’s how:

  1. Create a new account in MetaMask.
  2. Send your ONE and HRC20/HRC721 tokens from your old wallet to the new MetaMask address.
  3. Note: If you’re currently staked, you must first undelegate and wait through the 7-epoch unbonding period (~12 days) before transferring funds.
  4. Optionally, connect a Ledger Nano S/X for enhanced security when signing transactions.

After migration, you can stake directly using your new MetaMask wallet.

Frequently Asked Questions (FAQ)

Q: Can I stake with MetaMask if I’m already staked via another wallet?
A: Yes, but you must first undelegate your tokens and complete the 7-epoch unbonding period before transferring funds to MetaMask.

Q: Are gas fees higher when using smart contract staking?
A: No. The precompiled contract ensures gas costs are identical to native staking transactions.

Q: Can I stake across multiple validators using one transaction?
A: Not directly through the dashboard, but developers can build dApps that enable batch delegation via smart contracts.

Q: What happens if a validator I delegate to gets slashed?
A: Slashing penalties apply equally regardless of how you stake. Always research validator reliability before delegating.

Q: Are staking rewards automatically compounded?
A: No—rewards must be manually collected unless you use a third-party dApp that automates compounding.

Q: Can I use liquid staking tokens as collateral in DeFi loans?
A: Yes! Once liquid staking solutions launch on Harmony, derivative tokens like “stONE” can be used across DeFi protocols for lending, borrowing, and trading.

About Harmony

Harmony is an open, fast, and secure blockchain platform designed for decentralized applications, digital assets, identity management, and cross-chain interoperability. With 2-second transaction finality and fees 100x lower than Ethereum, Harmony provides a high-performance environment for developers and users alike.

Its secure cross-chain bridges enable seamless asset transfers between Ethereum, Binance Chain, and other major networks—making Harmony a true multi-chain hub.

Build on Harmony. Run on all chains.

👉 Start exploring decentralized staking and DeFi innovation today.