# XDC Liquid Staking

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**psXDC V3 is coming soon.** We are upgrading to a fully non-custodial, ERC-4626 vault architecture with self-service withdrawals, direct masternode integration, and time-locked governance. The audit is in its final stages. → [V3 Architecture](https://docs.primestaking.xyz/products/xdc-liquid-staking/v3-architecture) | [V2 vs V3](https://docs.primestaking.xyz/products/xdc-liquid-staking/v2-vs-v3)
{% endhint %}

XDC Liquid Staking lets you earn staking rewards on any amount of XDC - without running a node, meeting a minimum threshold, or locking your funds permanently.

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## Key Facts

|                      |                                                                                                                                                 |
| -------------------- | ----------------------------------------------------------------------------------------------------------------------------------------------- |
| **APY**              | \~4.5%                                                                                                                                          |
| **Minimum stake**    | None                                                                                                                                            |
| **Token received**   | psXDC (1:1 with XDC)                                                                                                                            |
| **Reward currency**  | psXDC                                                                                                                                           |
| **Reward frequency** | Continuous accrual; claim anytime                                                                                                               |
| **Withdrawal time**  | \~35 days average (validator queue) or instant via [XSWAP DEX](https://info.xspswap.finance/#/pools/0xc4a0b4ce176c623a281bc565bfd35eab4fd7050a) |
| **Smart contract**   | Audited by QuillAudits                                                                                                                          |

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## How It Works

### 1. Stake

Deposit XDC through the staking interface at [primestaking.xyz](https://primestaking.xyz/xdc-liquid-staking/overview). No account setup or KYC required - just connect your wallet.

### 2. Receive psXDC

You receive psXDC at a 1:1 ratio, instantly confirmed on-chain. psXDC is your proof of staked ownership.

### 3. Earn Rewards

Rewards accrue continuously at \~4.5% APY. Your staked XDC is allocated to validators on the XDC Network, and the generated rewards are distributed proportionally to all psXDC holders.

Claim your rewards from the **Rewards** tab in the app whenever you want.

### 4. Use psXDC

psXDC is a standard token on the XDC Network. While your XDC earns rewards in the background, you can:

* **Hold** psXDC to accumulate rewards passively.
* **Trade** psXDC on DEXs (typically paired with XDC).
* **Stake inside XDC NFTs** to boost your APY up to 6%.
* **Transfer** psXDC to any wallet - the recipient starts earning rewards automatically.

### 5. Withdraw

To convert back to XDC, you have two options:

* **Standard withdrawal:** Submit a withdrawal request. You burn the corresponding psXDC, and your original XDC is returned after processing through the validator queue (\~35 days average).
* **Instant exit via DEX:** Swap psXDC for XDC on [XSWAP](https://info.xspswap.finance/#/pools/0xc4a0b4ce176c623a281bc565bfd35eab4fd7050a) for immediate liquidity (subject to available pool depth and market rate).

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## Reward Distribution

| Detail               | Explanation                                                        |
| -------------------- | ------------------------------------------------------------------ |
| **Source**           | Staking rewards generated by the protocol's XDC Network validators |
| **Calculation**      | Proportional to your psXDC balance at distribution time            |
| **Claiming**         | Manual - go to the Rewards tab and claim to your wallet            |
| **Partial holdings** | You earn rewards on any amount of psXDC you hold                   |

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## Getting psXDC

There are two ways to obtain psXDC:

1. **Stake XDC** - Deposit through the staking interface to mint psXDC directly.
2. **Buy on a DEX** - Purchase psXDC on a decentralized exchange. Holding psXDC from any source entitles you to staking rewards.

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## Technical Details

* **Smart contract-driven** - Staking, reward distribution, and redemption are fully on-chain.
* **Dynamic reward calculation** - Rewards reflect actual validator performance.
* **On-chain transparency** - Every staking, claiming, and withdrawal event is logged and verifiable.

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## Benefits

* **No infrastructure** - The protocol handles validator operations.
* **No minimum** - Stake any amount of XDC.
* **Full liquidity** - psXDC keeps your position liquid while earning rewards.
* **Composable** - psXDC works with DeFi protocols and XDC NFTs.
* **Non-custodial** - You retain full ownership of your assets at all times.
* **Zero slashing risk** - XDC Network does not implement slashing, so your staked capital is never at risk from validator behavior.