🤝 Leased Proof of Stake LPoS
A Proof-of-Stake variant where you lease your coins to a node so it has a better chance of making the next block. You earn a share of its rewards, and your coins never leave your wallet.
🏦 The simple version — like a savings deposit you can recall
On a Proof-of-Stake chain, nodes with more coins behind them get picked more often to make the next block and collect the reward. Leased Proof of Stake lets you lend the "weight" of your coins to a node so it gets picked more often, then it pays you a slice. Think of a savings deposit at a bank: you let the bank put your balance to work and you earn interest, but the money is still yours. With LPoS the coins don't even leave your wallet — they're just locked while you point their weight at the node.
🔒 Your coins stay yours — that's the whole point
This is what makes leasing different from simply giving coins to someone. The leased coins are not transferred to the node; they stay on your own account, just frozen from spending while the lease is active. The node cannot move, trade, or take them. And you can cancel the lease yourself, instantly, at any time — no permission from the node needed. The moment you cancel, the coins unlock.
🪜 Why beginners like it
- 🚪 Low barrier — You don't need a big pile of coins, a server, or technical skill to earn. You just lease to an existing node.
- 🌱 No mining hardware — Unlike Proof of Work, there's no power-hungry mining rig, so it's far more energy-efficient.
- 🔑 You keep custody — Coins never leave your wallet, so there's no need to trust the node with your funds.
⚖️ How a node uses your lease
A node usually needs a minimum amount of coins before it's even allowed to make blocks. On the Waves blockchain, the original and main LPoS network, that minimum is 1,000 WAVES. Smaller holders who can't meet it lease to a bigger node instead. Every leased coin adds to the node's stake weight, and more weight means a higher chance of being chosen to produce the next block. When the node wins a block, it shares part of the block and fee rewards back with everyone who leased to it.
📊 Reward shares are set by each node owner, not by a fixed rule — there's no guaranteed rate. Check what a node pays before you lease to it.
🆚 Not the same as Delegated Proof of Stake
The names sound alike, but they do different jobs.
| Mechanism | What you give the node |
|---|---|
| 🤝 Leased Proof of Stake | You lease stake weight to raise the node's odds of making the next block |
| 🗳️ Delegated Proof of Stake | You delegate voting power to help elect a small set of validators |
📝 Heads-up: "LPoS" sometimes also means Liquid Proof of Stake, which is a different thing. This page is about Leased Proof of Stake.
❓ FAQ
- Do I hand my coins over to the node when I lease them?
- No. The coins stay in your own wallet under your full control. They are only locked from spending during the lease — they are never transferred to the node, so the node can't move or steal them.
- Can I cancel a lease and get my coins back?
- Yes. You can cancel the lease instantly and on your own, at any time, without asking the node. Once cancelled, the coins are unlocked and spendable again.
- Is Leased Proof of Stake the same as Delegated Proof of Stake?
- No. In Delegated Proof of Stake you delegate voting power to elect a small set of validators. In Leased Proof of Stake you lease stake weight to a node to raise its odds of producing the next block. They are different mechanisms.