Zama mainnet staking feature officially launched, 18 nodes jointly initiate a new era of privacy computing

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Privacy Computing Protocol Zama’s mainnet staking feature officially launched on January 19, 2026. This milestone means that its key participants—including 5 FHE (Fully Homomorphic Encryption) nodes and 13 KMS (Key Management Service) nodes, totaling 18 operators—can now begin staking ZAMA tokens to maintain the network and earn rewards.

For users who participated in the public auction from January 12 to 15, they will be eligible to stake starting February 2 after claiming their tokens on January 20.

01 Behind the Scenes: How FHE and KMS Work Together

The core mission of the Zama protocol is to solve the “Transparency Paradox” of blockchain: while publicly verifiable features build trust, they also hinder commercial applications that require data privacy.

To achieve this, Zama is not creating a new blockchain but serving as a modular privacy layer integrated into existing public chains like Ethereum.

Its technical implementation relies on two key roles: FHE nodes and KMS nodes.

FHE nodes are responsible for executing fully homomorphic encryption computations. This is the “Holy Grail” of cryptography, allowing operations directly on encrypted data without decrypting, thus protecting data privacy throughout the computation process. KMS nodes run threshold decryption services, ensuring only authorized users can decrypt the final results.

Currently, 18 operators form the backbone of the network, including Zama itself, Figment, Fireblocks, Ledger, and other well-known institutions.

02 Staking Economics: Reward Distribution and Token Model

Zama adopts a Proof-of-Stake (PoS) mechanism to ensure operators fulfill their duties. Operators must stake ZAMA tokens to participate in protocol operations and earn rewards.

The reward distribution mechanism is carefully designed to balance incentives. The total reward pool is first divided by role: 40% for FHE nodes and 60% for KMS nodes. This ratio will be dynamically adjusted in the future based on the actual infrastructure costs of the two node types.

Within each role, rewards are distributed proportionally based on the square root of each operator’s staked amount. This model aims to limit centralization and encourage broader participation and decentralization.

Ordinary token holders can participate in staking by delegating their ZAMA tokens to their chosen operators and sharing in the rewards after deducting operator commissions. After staking, users receive a liquid token representing their stake share. To withdraw staked tokens, a 7-day unlock period is required.

03 Token Utility: Dual Circulation Drive and Value Capture

ZAMA tokens have two core utilities within the protocol: paying fees and staking.

When users perform encryption or decryption operations, they need to pay protocol fees denominated in ZAMA, which are 100% burned. This creates a deflationary pressure.

On the other hand, the protocol mints new ZAMA tokens to pay operators maintaining network security. The initial annual inflation rate is set at 5% and can be adjusted through governance. This process of minting and burning forms a dual circulation model in Zama’s economy.

Fees are settled in ZAMA but pegged to USD and updated via oracles, providing cost certainty for users and developers, unaffected by token price volatility.

04 Market and Outlook: From Privacy Stablecoins to RWA’s Broad Prospects

After the Zama mainnet launch, an immediately applicable scenario is privacy stablecoins. On-chain data shows that a privacy version of cUSDT has completed its first transfer, marking the transition of fully homomorphic encryption technology from theoretical validation to practical application.

This opens new horizons for the entire DeFi and RWA sectors. Institutions can issue and trade real-world assets like stocks and bonds on public chains while maintaining confidentiality of investor identities and transaction activities.

The Zama team is led by top cryptography experts worldwide. Co-founder and CTO Pascal Paillier is even the inventor of the widely used Paillier homomorphic encryption scheme. The team’s strong academic and engineering background provides a solid foundation for the long-term development of its technical roadmap.

05 How to Participate: A Guide for Gate Users

As a leading global cryptocurrency exchange, Gate offers users a convenient way to access and participate in cutting-edge projects like Zama. Here is a step-by-step guide for Gate users:

Step 1: Acquire ZAMA Tokens

Users can purchase ZAMA tokens directly on the Gate trading platform. Gate provides a secure and liquid trading environment for quick position building. As of January 20, 2026, the latest ZAMA price can be checked on the Gate official website or app’s real-time market section.

Step 2: Choose Staking Delegation

Visit Zama’s official staking portal (staking.zama.org) and connect your crypto wallet. There, you can view real-time data of all 18 operators, including total staked amounts, historical performance, and commission rates.

Based on your risk preference and expected returns, select one or multiple operators to delegate to.

Step 3: Manage Staked Assets

After delegation, you will receive corresponding liquid staking tokens. You can claim staking rewards at any time, but note that if you decide to cancel staking, the principal will undergo a 7-day unlock period before withdrawal.

Future Outlook

Just as the Zama staking feature launched, the world’s first privacy stablecoin based on fully homomorphic encryption, cUSDT, completed an on-chain transfer. This breakthrough means users can transfer value on public ledgers like Ethereum while keeping amounts and balances completely confidential from everyone except the transacting parties.

Looking ahead, Zama’s roadmap shows its privacy layer will expand to more blockchains like Solana. A universal blockchain network supporting programmable privacy is taking shape, no longer forcing users to choose between transparency and privacy.

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