Staking is a technology that verifies transactions on the blockchain technology and supports the entire network. When you stake your favorite crypto you participate in the network and in return you’ll be rewarded with interest. This can become monthly or yearly income for everyone who is able to leave the coins or tokens in their wallets for a long or short period, you can diversify your coins and support different networks and by doing that your portfolio will grow day by day.
Behind the scenes, how does staking work?
There are different mechanisms in the crypto sphere, the most famous ones are the Proof of Work and Proof of Stake, with the Proof of Work concept the transactions are verified by mining new blocks and it requires a high-tech equipment to be able to earn passive income while PoS mechanism doesn’t require expensive equipment in order to earn coins by verifying transactions, what you’ll have to do is start holding some crypto and you will notice how your crypto portfolio will start to grow, please note that the more crypto you own the bigger the reward is.
What are the terms and conditions for staking?
– Your wallet has to be online 24/7 (unless you use a cold wallet)
– Your wallet must support the staking feature
– You will have to store your coins for couple of days in order to receive a reward
– There might be a min amount
Where can you stake your coins?
While the trend is uprising a lot, this results with more exchanges offering a staking program, one of them is our EGG.FI platform which allows you to stake your favorite coins, even if you do not have the coins you can purchase our EGG token and we will stake your desired coin and you can earn rewards from it.
How much can you earn with the staking method?
The rewards are different from one project to another but most of the projects have a fixed yearly reward % that you can earn, on some projects the reward % may vary from time to time.
What are the staking benefits?
There are a lot of benefits, some of them are:
– You can stake your favorite crypto and earn by doing that
– You are helping the community/network of your crypto coin
– Anyone can join as long as it has internet and a device
– Good for the environment, low impact and no increased electricity use
Can your cold wallet coins be staked?
Yes, the coins from your cold storage can be staked, this means that your crypto coins are secure and they are bringing you extra profit while being kept on a safe location. The only drawback is that not all crypto and networks are allowing cold staking.
Is there an easier way to proceed?
With the EGG token, you don’t have to bother anymore on finding most profitable coins. EGG uses smart contracts to automatically be swapped into the selected coin and add liquidity on your behalf. It also boosts your yield as you get your transaction fees on the DEX + EGG tokens too as an extra reward.
Which coins can be staked?
1. Loom (LOOM)
2. Syntethix (SNX)
3. DAI (DAI)
4. Matic Network (MATIC)
5. 0x (ZRX)
6. Kava (KAVA)
7. Yearn.Finance (YFI)
8. Band Protocol (BAND)
9. Kyber Network (KNC)
10. Harmony (ONE)
11. Cardano (ADA)
12. Tezos (XTZ)
Which is your favorite coin, leave a reply in the comment section below!
Disclaimer: The opinion expressed here is not investment advice – it is provided for informational purposes only. It does not necessarily reflect the opinion of EGG Finance. Every investment and all trading involves risk, so you should always perform your own research prior to making decisions. We do not recommend investing money you cannot afford to lose.