If you are generally familiar with popular crypto platforms and the market, you have probably heard about such an option of receiving passive income using digital assets as staking. Unlike mining, which requires advanced equipment and powerful computers that generate every block on the blockchain, staking allows one to do it in a much simpler way. To stake crypto, you just need to have an internet connection and a reliable crypto platform that allows for this option. So what does staking crypto mean? Let’s try to figure it out.
Staking Crypto Meaning
There are crypto assets developed on the Proof-of-Work protocol (Bitcoin), and they are mined. And there are coins built on the Proof-of-Stake protocol (Solana, Ethereum recently) that are staked. Staking means keeping coins in the network and receiving interest in return. By holding your coins locked on the network, you support its operability and increase liquidity. In return, you receive more coins. That sounds like a deposit in a bank.
Staking has such preferences:
- High speed of transactions
- Low fees
- No expenses in equipment and its maintenance
Crypto Stake on WhiteBIT
Staking is available on many crypto platforms. We recommend using the WhiteBIT exchange. Or offers over 40 staking programmes that imply different period of locking coins and different rewards, respectively. The longer the period of staking, the more significant rewards you get.
To participate in a staking program, you should register an account and move there funds. Then pick a staking plan that suits you best and leave coins locked. Be attentive when selecting the plan. If you decide to take your coins back before the program expires, you will not receive rewards. It is advisable to start with short plans. Also, try to pick those crypto assets with high liquidity and not too fluctuating.
To learn sticking plans in detail, visit the WhiteBIT platform.