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, PlasmaChain, and is the currency that dapp developers use to host their dapps on PlasmaChain.
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 PlasmaChain?
A:
PlasmaChain 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 or 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:
How much is dapp hosting?
A:
Developers will pay regular fees to run their dapps on the network — starting with a flat rate of 3000 LOOM (~US$99) per year.
Q:
Why do developers pay dapp hosting fees?
A:
We believe free transactions for users are necessary for user-facing blockchain applications to reach mainstream usage. So developers pay to run their dapps on Loom instead of requiring their users to pay gas fees for every transaction.
Q:
Do users need LOOM tokens to use my dapp?
A:
No, users do not need LOOM. Developers pay to run dapps on Loom. Please see the previous question: “Why do developers pay dapp hosting fees?”
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 contract address of the LOOM token?
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 Loom Wallet?
A:
Loom Wallet is designed to interact with Loom PlasmaChain and allow you to deposit and withdraw assets from Ethereum and other major chains. It also lets you transfer non-fungible token assets to other users on PlasmaChain.