Token FAQ

The information below will give you a better understanding of the LOOM token and how it is used.
Q:
What is the LOOM token?
A:
LOOM is a Proof-of-Stake token that is used to secure Loom Network’s mainnet, Basechain, and is the currency that dapp developers use to host their dapps on Basechain.
Q:
What is the total supply of LOOM tokens?
A:
It is fixed at 1 billion tokens.
Q:
Is LOOM an ERC20 token?
A:
Yes, it is.
Q:
What role does LOOM play in securing Basechain?
A:
Basechain is a Delegated Proof of Stake (DPoS) blockchain. There are validators and delegators who stake their LOOM tokens to collectively uphold the security of the network.
Validators earn LOOM as block rewards for performing various duties on the network (similar to the role of ETH on Ethereum). LOOM holders earn a portion of these rewards by delegating to validators.
Q:
How can I stake my LOOM tokens?
A:
You can stake your LOOM tokens at http://wallet.loomx.io.

If you’re looking for more information on how to stake your LOOM tokens, please read the Staking Guide and Staking FAQ.
Q:
How many tokens are required to stake LOOM?
A:
The minimum number needed to stake is 1 LOOM — fractions are not supported.
Q:
Which wallets can be used to stake LOOM?
A:
The following wallets can be used for staking purposes: MetaMask, Ledger Nano, Trezor, ImToken, Trust, and Cobo Wallet — with more being added.

Some exchanges such as KuCoin also allow LOOM soft staking.
Q:
Where can I find out more about staking economics and rewards?
A:
You can read about LOOM staking economics and how rewards are distributed here.
Q:
Where do network rewards come from?
A:
Validators and delegators will earn rewards from the following sources: guaranteed block rewards, dapp hosting fees, and Transfer Gateway fees.

For the first year, utilizing the Transfer Gateway will be free. After that, users will pay a small fee when sending their assets between chains, which will be contributed toward validator and delegator rewards.
Q:
Where can I learn more about how token staking secures blockchains?
A:
To understand how Proof of Stake and Delegated Proof of Stake work to secure blockchain networks, you can read our articles here and here.
Q:
Do users need LOOM tokens to use my dapp?
A:
No, users do not need LOOM. Developers pay LOOM to run dapps on Basechain. Read more here.
Q:
Where can I buy LOOM?
A:
LOOM tokens are available on a number of different exchanges, such as Coinbase, Binance, Bittrex, Bithumb, KuCoin, and Upbit. You can see a longer list on CoinMarketCap.

Loom Network does not discuss, encourage, or facilitate token trading or investing in any way. This is solely for informational purposes.
Q:
What is the utility of the LOOM token?
A:
The LOOM token is used for staking, transaction fees, and bonding.
  1. Validators must stake LOOM tokens in order to run their nodes, and delegators can stake LOOM tokens to validators in order to get a share of the block rewards.
  2. Transaction fees serve two important purposes. They ensure that validators that run Basechain nodes can be fairly compensated for the running costs of their servers, and they help prevent spam transactions.
  3. Developers can spin up their own blockchains using the Loom SDK, and connect them to Basechain to take advantage of its interconnections with Ethereum, TRON, and Binance Smart Chain. To disuade malicious behavior these standalone chains will have to bond LOOM tokens on Basechain before they can use its transfer gateways.
Q:
What is the contract address of the LOOM token?
A:
You can view the contract on Etherscan: https://etherscan.io/token/0x42476f744292107e34519f9c357927074ea3f75d
Q:
Which wallets can I use to store LOOM?
A:
LOOM can be stored in any ERC20 compatible wallet.

We do not recommend any particular wallets. Please do any necessary research before choosing a wallet to store your tokens.
Q:
What is Basechain Wallet?
A:
Basechain Wallet is designed to interact with Loom Network's Basechain, and allows you to deposit and withdraw assets from Ethereum, TRON, Binance Chain, and soon Binance Smart Chain. It also lets you transfer NFTs to other users on Basechain.

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Loom Network is a production-ready, multichain interop platform for serious dapp developers. We provide the tools and knowledge developers need to launch high-performance dapps that require a fast and seamless UX across multiple chains. With integrations to Bitcoin, Ethereum, Binance Chain, and all major blockchains, deploying once to Loom lets you future-proof your dapp by reaching the largest possible user base today.