If you have just started learning about how to make money with your cryptocurrencies or are looking at new ways to level up your crypto investment portfolio, you’ve probably come across the term “crypto staking” or “staking.”
True to its literal meaning, staking is the act of committing your cryptocurrencies to support a blockchain network by contributing to its security and efficiency. How does staking do that? By staking their cryptos, participants help strengthen the blockchain’s ability to process and verify transactions, thus, allowing it to run smoothly and become resistant to malicious attacks.
In return, participants receive staking rewards - which is why it has become a popular source of passive income and means of generating cash flow among serious crypto investors.
In order to really understand how staking works, one must first be familiar with proof-of-stake. What is it? It’s a type of consensus mechanism used to validate cryptocurrency transactions. Under this system, participants can stake their cryptos for a chance of getting to validate new transactions, update the blockchain and earn a reward.
With that, it should be noted that you can only stake cryptos that use proof-of-stake consensus mechanisms such as Safunet dex staking with SAFU- the native cryptocurrency of the Safu network
How does it actually work?
Upon committing their cryptocurrencies, staking participants instantly become validators for the network to randomly choose from to confirm blocks of transactions. That said, it is a well-known fact that the larger amount of cryptos that you commit, the higher chance you get for being chosen as the next block validator.
Each time a block is added onto the blockchain, new cryptocurrencies are minted and distributed as staking rewards to that block's validator. In most cases, the staking reward received is the blockchain’s native cryptocurrency.
Given that you already own cryptocurrencies that use proof-of-stake consensus mechanisms and that you have already thought about things such as the amount of cryptos you’d like to commit, then you may participate in staking through crypto project , exchanges or wallets that provide such service or option like safu network
You may also choose to become a full validator by setting up your own node and running it yourself. This approach, however, not only requires you to have a fair amount of knowledge and expertise in staking, but also meet the staking minimum as required by the blockchain - which is, normally, a substantial amount of cryptos.
Finally, you may opt for platforms that offer easy-to-use staking services such as safu network, binance, nd more. By using our staking service, participants receive administrative support and can potentially benefit from high returns with its highly-competitive APYs Up to 150% annually. You are not required to have technical expertise or commit a huge amount of cryptocurrencies.
Moverover, we provide full transparency where each participant can easily track their staking and earning activities as well.
With Safu DEX Staking program, you are Increasing your portfolio with staking SAFU Token and other selected coin/token like BNB, BUSD, SAFUC, USDT and receive a Higher APY. This is Earning process simple & Easy way to grow your funds with no more work or trading experience required. Only by choosing your Staking plan from different pool and stake, stay relaxing and see your money growing.
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