> ## Documentation Index
> Fetch the complete documentation index at: https://docs.autheo.com/llms.txt
> Use this file to discover all available pages before exploring further.

# License setup

> How to acquire, bridge, bind, and verify an NFT license on Autheo Chain before running a validator or delegating.

All staking participants on Autheo Chain must hold an on-chain license record before operating a validator or delegating. Licenses originate as ERC-721 NFTs on Arbitrum and are bridged automatically when transferred to your Autheo Chain EVM address.

## License tiers

| Tier      | Purpose                             | Annual THEO emission | Required for        |
| --------- | ----------------------------------- | -------------------- | ------------------- |
| Sovereign | Create and operate a validator      | \~187,969            | Validator operators |
| Prime     | External delegation (higher tier)   | \~18,797             | Prime delegators    |
| Core      | External delegation (standard tier) | \~1,880              | Standard delegators |

<Note>
  Only one Sovereign license can bind to a given validator at any time. This enforces a strict 1:1 relationship between Sovereign licenses and validators.
</Note>

## Step 1: Acquire the NFT on Arbitrum

Purchase the appropriate ERC-721 NFT on the [Node Sale Platform](/web-apps/node-sale/purchasing-a-license). View contract addresses:

```bash theme={null}
autheod query license params
```

## Step 2: Transfer to your Autheo Chain EVM address

Use the [Autheo Bridge](/web-apps/bridge/making-a-transfer) to send the NFT from Arbitrum to your EVM address (`0x...` format). This triggers an automatic on-chain hook that mints a `LicenseRecord` in `ISSUED` status — no separate transaction needed.

```bash theme={null}
autheod keys show <key-name> --bech eth --keyring-backend file
```

## Step 3: Verify the license record

```bash theme={null}
autheod query license licenses-by-owner <cosmos-address>
autheod query license license <license-id>
```

You should see `status: ISSUED`.

## Step 4: Bind the license

<Tabs>
  <Tab title="Sovereign license">
    ```bash theme={null}
    autheod tx license bind <license-id> \
      --from <owner-key> \
      --chain-id autheo_2127-1 \
      --keyring-backend file
    ```

    The validator address is derived automatically from your operator key.
  </Tab>

  <Tab title="Prime / Core license">
    ```bash theme={null}
    autheod tx license bind <license-id> \
      --validator-address <autheovaloper-address> \
      --from <owner-key> \
      --chain-id autheo_2127-1 \
      --keyring-backend file
    ```

    The target validator must be bonded and not jailed.
  </Tab>
</Tabs>

## Step 5: Verify BOUND status

```bash theme={null}
autheod query license license <license-id>
```

Confirm `status: BOUND`. Your license is ready for validator creation or delegation.

## License status after binding

| Action               | Resulting status |
| -------------------- | ---------------- |
| `MsgCreateValidator` | BOUND → ACTIVE   |
| `MsgDelegate`        | BOUND → ACTIVE   |
| Full undelegation    | ACTIVE → BOUND   |
| Validator jailed     | ACTIVE → BOUND   |
| Full unbind          | BOUND → ISSUED   |

## Claiming NFT rewards

Once `ACTIVE`, the license accrues per-block NFT rewards. Claim them manually:

```bash theme={null}
autheod query emissions license-accrued-rewards <license-id>

autheod tx licensedistribution claim-nft-rewards <license-id> \
  --from <owner-key> \
  --chain-id autheo_2127-1 \
  --keyring-backend file
```

See [NFT rewards](/nodes/architecture/nft-rewards) for full details.