Stake
Coming Soon
Staking
You may have heard that cryptocurrency has its own unique equivalent to fixed-income assets. Instead of earning interest in the form of dollars, you earn a percentage of a batch of crypto coins you set aside and “stake.” This is what crypto staking is all about.
What is cryptocurrency staking?
Crypto staking is the practice of locking your digital tokens to a blockchain network in order to earn rewards—usually a percentage of the tokens staked. Staking cryptocurrency is also how token holders earn the right to participate in proof-of-stake blockchains.
Here’s a simple example: Suppose a blockchain network offers a 5% reward for a staking period of, say, a month. You decide to lock up and stake 100 tokens in the network. After a month, you’re able to access your staked tokens and you receive 5 additional tokens as your reward.
Key Points
Staking is a way long-term crypto investors (“HODLers”) earn passive income in the crypto world.
Staking cryptocurrency means agreeing not to trade or sell your tokens.
How does crypto staking work?
Suppose you want to add cryptocurrency to your portfolio in order to generate yield from staking. Here are the steps to make that happen:
Choose a cryptocurrency. Not all cryptocurrencies support staking, so your first step is to choose a relevant token. Cryptocurrencies that use proof of stake or a similar consensus mechanism generally support staking.
Acquire the cryptocurrency. Your next step is to acquire your chosen cryptocurrency. You can use one of many crypto exchanges to complete the purchase.
Select a staking platform. Choosing a staking platform is the most important part of this process. Your selected platform determines the type of staking and whether the token storage is custodial or noncustodial.
Stake your cryptocurrency. With the right tokens in your digital wallet and a staking platform selected, you’re ready to follow the protocols of the platform to stake your crypto. Staking a token locks it to a blockchain network for a predefined time period.
Earn rewards. Your staked cryptocurrency may begin to generate rewards in the form of more crypto.
We will soon create the project's cryptocurrency stick on this platform. Wait for the new update of our platform.
