Staking

Crypto Staking: How It Works & What Rewards You Earn?

           POS - Proof of Stake Meaning.

You might have heard about fixed-income assets, like corporate and government bonds, where you can earn monthly or yearly interest. Well, when it comes to cryptocurrencies, such a process is known as staking. In cryptos, you can’t earn interest in dollars, but instead, you earn a specific percentage of crypto coins in your portfolio that you set aside and lock for staking. 

In this blog post, we will break down every aspect of staking and all you need to know about crypto staking rewards and everything associated with it. 

What Is Crypto Staking?

Crypto staking is a simple process where you lock your crypto coins in a blockchain network in order to earn a specific percentage of what you stake in total. Staking cryptocurrencies further allows you to enjoy the participation right in proof-of-stake blockchains. However, there are many significant features associated with the process of crypto staking which we will discuss further throughout this blog post. 

How Much Can You Make Staking Crypto?

The amount of earnings through crypto staking depends on the number of digital assets you lock in the blockchain. Let’s see an easy example to understand this: 

For example, a blockchain is offering you 10% rewards to stake cryptocurrencies for a month, and you are locked in 100 crypto coins with the blockchain. After a month, you will receive your 100 tokens, plus 10% extra tokens as your crypto staking reward.

    So, is staking crypto worth it? The answer is absolutely yes. Staking cryptocurrencies is much less risky with confirmed returns compared to trading cryptocurrencies. 

How Much Can You Make Staking Crypto?

The number of crypto staking rewards you can earn varies frequently. It depends on where you stake your coins, which cryptocurrency you choose, and how many people are also staking that coin. If you use a crypto exchange for staking, the rewards may differ. Some exchanges take a percentage of your staking reward, while others give you the full amount. Each platform has its own rules for rewards.

Lastly, keep in mind that staking yields can vary based on the number of people involved and the total reward of the pool.

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       About the Author

     A Proud YEM Holder Since 2019 up to date